Reminder: Mandatory Renewal of Bank Locker Agreements – Don't Miss the Deadline!

December 31st Deadline to Renew Bank Locker Agreements! The Reserve Bank of India has brought a renewal process for bank locker agreements. If you submitted your agreement on or before December 31, 2022, it's time to sign a revised one and submit it to your bank branch.

Bank Locker Renewal Process and Responsibilities Simplified

Banks are taking steps to make the renewal process easier for customers. They're facilitating fresh or supplementary agreements through measures like arranging stamp papers, electronic execution, franking, and e-stamping. 

After the renewal, banks provide a copy of the executed agreement to the customer.

When a locker is allotted, both the bank and the customer sign an agreement. The bank keeps the original at the branch with the locker, providing a duplicate to the locker hirer.

Responsibility for Damage and Security Measures

Banks are not held responsible for damage or loss of locker contents caused by natural disasters like floods, thunderstorms, earthquakes, or lightning. However, banks are expected to take appropriate measures to safeguard their locker systems from such events. Customers are accountable for any loss or damage resulting from their fault or negligence, as per RBI guidelines.

To ensure safety and security, banks must take steps to prevent incidents like fire, theft, burglary, robbery, dacoity, and building collapse. These preventive measures are essential to avoid issues arising from the bank's shortcomings, negligence, or any act of omission or commission.

Compensation and Customer Entitlements

Should banks be identified as liable for any loss or damage to locker contents, they are mandated to provide compensation to the affected customer. 

The bank holds the responsibility of guaranteeing the safety and security of both the lockers and their designated premises. 

Customers have the right to receive clear information about their rights and responsibilities, as outlined in the signed locker agreement, as per the guidelines set forth by the RBI.

Also Read: ITAT Grants Relief to Taxpayers Claiming Deduction under Section 54 by Quashing Revisionary Order

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