Question 1

Which of the following complaints is NOT maintainable before the RBI Integrated Ombudsman?

Levying of charges without prior notice.Refusal to open a deposit account without a valid reason.Disputes related to commercial decisions of the bank (e.g., rejection of a loan proposal based on credit score).Non-payment or delay in payment of inward remittances.

View Explanation

The Ombudsman scheme aims to resolve "Deficiency in Service." It specifically excludes complaints arising from the commercial judgment/decisions of the bank, such as whether to grant a loan or the interest rate charged (unless not as per RBI guidelines), to avoid interfering in business autonomy.

Question 2

If a bank wrongfully dishonors a customer's cheque due to a clerical error, the bank is liable to compensate the customer for:

A fixed penalty of ?100.No compensation if the error was unintentional.Only the amount of the cheque.Damages for loss of credit/reputation and mental agony.

View Explanation

Under Section 31 of the NI Act, a banker is liable to compensate the drawer for any loss or damage caused by wrongful dishonor. This includes damages for injury to the customer's credit and reputation in the market.

JAIIB Quiz

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