RBI appoints Ombudsman for NBFCsNow if you have complaints against a non-banking finance company (NBFC), you have a formal recourse to take it up with an Ombudsman appointed by Reserve Bank of India exclusively for NBFCs.

In a notification issued on Friday, RBI said consumers can seek redressal of complaints against NBFCs registered with RBI under Section 45-IA of the RBI Act, 1934.

The Ombudsman Scheme for NBFCs will “provide a cost-free and expeditious complaint redressal mechanism relating to deficiency in the services by NBFCs covered under the Scheme”, RBI said.

The offices of the NBFC Ombudsmen will function at four metro centres – Chennai, Kolkata, Mumbai and New Delhi, and will handle complaints of customers in the respective zones.

To begin with, the scheme will cover all deposit-taking NBFCs. Based on the experience gained, the RBI would extend the scheme to cover NBFCs having an asset size of Rs 100 crore and above with customer interface.

The scheme provides for an appellate mechanism under which the complainant/NBFC has the option to appeal against the decision of the Ombudsman before the Appellate Authority.

The complete Scheme is available on RBI’s website.

RBI already has an Ombudsman Scheme for banks where consumers can approach for redressal of their complaints regarding deficiency in banking services. Read our article on this to know more.

Author
Staff Writer

This article is written by RupeeIQ editorial staff.