Yes. REs may formulate an appropriate Board approved policy and adopt a suitable structure of penal charges that is ‘reasonable’ and ‘commensurate’ with the non-compliance of material terms and conditions of the loan contract.

RB-IOS, 2021 has simplified the processes, centralized the receipt of physical and email complaints, brought more REs under its ambit, done away with limited grounds of complaints and difference jurisdictions of Ombudsmen and now all complaints involving deficiency in service are covered under RB-IOS. Complainants can lodge their complaints against an RE on the 24x7 online CMS portal at https://cms.rbi.org.in/ or send their complaint in email/physical form to CRPC (refer Question 16). Salient benefits for the complainant arising from the RB-IOS with upgraded CMS portal are as under:

1. Simplification in the process of filing the complaint on CMS portal;

2. A complaint can be filed on CMS portal/ CRPC from anywhere in the country irrespective of the address of the complainant, RE or branch involved;

3. One address and one email for lodging of physical/ email complaints from anywhere in the country;

4. Automatic acknowledgement to the complainant on registration of online complaint;

5. Facility for real-time tracking of the status of complaint;

6. Convenience from ‘One Nation One Ombudsman’ approach;

7. Facility for online submission of additional documents on the CMS itself;

8. Detailed letter intimating decision/ closure of complaint;

9. Facility for online and voluntary feedback submission by the complainant regarding redress provided by RBI.

Ans: No. Even if a company’s account closing period is different from reference period (end-March), the ITES survey information should be reported for the survey reference period, based on the company’s internal assessment.

In case of any specific complaint against any bank relating to deficiency in service pertaining to education loan, the same can be filed with the bank concerned. If there is no response to the complaint within one month or non-satisfactory response from the bank, the complaint may be filed under ‘The Reserve Bank - Integrated Ombudsman Scheme, 2021’. Complaints can be filed online through Complaint Management System (CMS) portal of the RBI, at https://cms.rbi.org.in. Complaints can also be filed through the dedicated e-mail or sent in physical mode to the ‘Centralised Receipt and Processing Centre’ set up at Reserve Bank of India, 4th Floor, Sector 17, Chandigarh – 160017, as per the Format provided in the Scheme.

Ans: In terms of revised Master Directions, banks are not required to submit such certificates / Flash Reports to RBI.

उत्तर. एटीएमस/ डब्ल्यूएलए वर व्यवहार करण्यासाठी ग्राहकापाशी वैध कार्ड आणि व्यक्तिगत ओळख क्रमांक (पिन) असला पाहिजे.

Ans: Creation and issuance of retail e₹ is identical to the arrangement for issuance of paper currency i.e., RBI creates e₹ and issues them to banks and non-banks electronically. Banks and non-banks, thereafter, are responsible for facilitating onboarding and opening e₹ wallets for their customers on their mobile phones. The e₹ issuance, distribution, and usage within the retail segment (for members of the public) is live in pilot mode with effect from December 1, 2022. The users and merchants of identified pilot banks and non-banks across the country can use e₹.

Ans. In case a customer does not possess an OVD, he can still open a ‘Small Account’ with a bank. For the purpose, the bank shall obtain a self-attested photograph from the customer and the designated officer of the bank certifies under his signature that the person opening the account has affixed his signature or thumb impression in his presence. The Small Account shall remain operational initially for a period of twelve months and is subject to conditions as given under paragraph 23 of the Master Direction on KYC.

Ans. Provisions related to penalty are contained in paragraph 15 of these Directions. The detailed procedure for premature withdrawal including partial premature withdrawal are determined by the banks in terms of their comprehensive Board approved policy.

Response: Government of India, vide its press release ID 2115009 dated March 25, 2025 has discontinued the Medium and Long Term Government Deposit (MLTGD) components of GMS. Accordingly, the mobilization of a MLTGD, including renewal, has been discontinued with effect from March 26, 2025. There is no change in the provisions pertaining to STBD under GMS.

The initiative involves collaboration between multiple regulators:

• Reserve Bank of India (RBI) – for banking and payment systems

• Securities and Exchange Board of India (SEBI) – for securities markets

• Insurance Regulatory and Development Authority of India (IRDAI) – for insurance products

• Pension Fund Regulatory and Development Authority (PFRDA) – for pension-related innovations (although PFRDA does not have a separate regulatory sandbox but is a part of the Inter-operable Regulatory Sandbox (IoRS)).

• International Financial Services Centres Authority (IFSCA) – unified Regulatory authority of Gujarat International Finance Tech-City International Financial Services Centre (GIFT IFSC) for testing in the domain areas as specified in the Annexure I of Framework for FinTech Entity in the International Financial Services Centres.

Ans : The mutual fund companies can submit their responses through Schedule-4 (excel format) on or before July 15 of every year.

Ans. Along with the application in the prescribed format, the applicant may also furnish the details as per the Annexures- relating to Foreign Direct Investment, External Commercial Borrowings, Overseas Direct Investment and Branch Office / Liaison Office, as applicable, (Annexures available in the Directions – Compounding of contraventions under FEMA, 1999, as mentioned in answer to Q. 4 above) along with an undertaking that they are not under investigation of DOE,., a cancelled cheque copy, a copy of the Memorandum of Association while applying for compounding of contraventions under FEMA, 1999. Application submitted to the Reserve Bank must contain contact details i.e., name of the applicant / authorised official or representative of the applicant, telephone/ mobile number and email ID.

Ans. “Payment obligation” is defined as what is owed by one participant in a payment system to another such participant which results from clearing or settlement or payment instructions relating to funds, securities or foreign exchange or derivatives or other transactions.

CTS was originally implemented with three separate geographical CTS grids in New Delhi, Chennai, and Mumbai with effect from February 1, 2008, September 24, 2011, and April 27, 2013 respectively. Over time, all locations across the country were brought under the ambit of one of the three grids. After migration of the entire cheque volume to CTS, the traditional mechanisms of cheque clearing have been discontinued across the country. Banks have been advised to ensure that all their branches are connected to CTS.

With effect from October 13, 2023, the three grids were merged to form a National Grid managed by National Grid Clearing House (NGCH), Chennai.

Yes. REs may formulate an appropriate Board approved policy and adopt a suitable structure of penal charges that is ‘reasonable’ and ‘commensurate’ with the non-compliance of material terms and conditions of the loan contract.

नाही. बँकांना सांगण्यात आले आहे की बीएसबीडीए उघडण्यासाठी वय आणि उत्पन्न ह्यासारखे काही निर्बंध लादू नयेत.

Ans: In terms of MD-TLE dated September 24, 2021, Primary (Urban) Co-operative Banks (PUCBs), State Co-operative Banks (StCBs) and Central Co-operative Banks (CCBs) have been recognised as eligible transferors of stressed loans. The relevant provisions of circular “Guidelines on Sale of Financial Assets to Securitisation Company/Reconstruction Company (SC/RC) by Multi State Urban Cooperative Banks’ dated March 28, 2014, in terms of which only multistate cooperative banks could sell stressed assets to ARCs have been repealed. Accordingly, all cooperative banks are permitted to transfer stressed assets to ARCs in compliance with the provisions of the MD-TLE and other extant regulatory instructions.

The Resolution Framework may be invoked for resolution of all exposures of lending institutions to eligible borrowers, including investment exposures. However, the Resolution Framework is without prejudice to all applicable guidelines issued by the relevant financial sector regulators and other Departments of the RBI in respect of any particular exposure.

Ans. With effect from July 01, 2019, RBI has waived the processing charges levied by it for RTGS transactions. Banks may pass on the benefit to its customers. With a view to rationalise the service charges levied by banks for offering funds transfer through RTGS system, a broad framework of charges has been mandated as under: a) Inward transactions – Free, no charge to be levied. b) Outward transactions – ₹ 2,00,000/- to 5,00,000/-: not exceeding ₹ 25/- (exclusive of tax, if any) Above ₹ 5,00,000/-: not exceeding ₹ 50 (exclusive of tax, if any) Banks may decide to charge a lower rate but cannot charge more than the rates prescribed by RBI.

उत्तर. एखाद्या संस्थेद्वारा पीपीआयज जारी केले जातात आणि संस्थेकडून वस्तू व सेवांची खरेदी करण्यासाठीच फक्त त्याचा उपयोग करता येतो आणि रोख पैसे काढण्यासाठी परवानगी दिली जात नाही. ही तिसऱ्या पक्षाच्या सेवांचे पैसे देण्यासाठी किंवा त्यांचा मोबदला देण्यासाठी इन्स्ट्रुमेंटचा उपयोग करता येत नसल्यामुळे सदर इन्स्ट्रुमेंट जारी करणे आणि त्याचे कामकाज यांचे रिझर्व बँकेची मंजुरी/ अधिकार आवश्यक असलेली पेमेंट यंत्रणा असे वर्गीकरण केले जात नाही.

• For calculating the index ratio for a specific date, daily reference WPI values would be linearly interpolated using ‘Ref WPI’ for the first day of the calendar month and the first day of the following calendar month.

• The formula for computing the reference WPI for a particular day is as under:

  

  [Ref WPI_M = Ref WPI for the first day of the calendar month in which Date falls, Ref WPI_M+1 = Ref WPI for the first day of the calendar month following the settlement date, D = Number of days in month (e.g. 31 days in August), and t= settlement date (e.g. August 6)]

• An example of daily reference WPI computed through interpolation is furnished below.

Date	Ref WPI (Given)	T-1	D	Ref WPI (Interpolation)
1-May-13	168.8
2-May-13		1	31	168.85
3-May-13		2	31	168.90
4-May-13		3	31	168.95
5-May-13		4	31	168.99
6-May-13		5	31	169.04
7-May-13		6	31	169.09
8-May-13		7	31	169.14
9-May-13		8	31	169.19
10-May-13		9	31	169.24
11-May-13		10	31	169.28
12-May-13		11	31	169.33
13-May-13		12	31	169.38
14-May-13		13	31	169.43
15-May-13		14	31	169.48
16-May-13		15	31	169.53
17-May-13		16	31	169.57
18-May-13		17	31	169.62
19-May-13		18	31	169.67
20-May-13		19	31	169.72
21-May-13		20	31	169.77
22-May-13		21	31	169.82
23-May-13		22	31	169.86
24-May-13		23	31	169.91
25-May-13		24	31	169.96
26-May-13		25	31	170.01
27-May-13		26	31	170.06
28-May-13		27	31	170.11
29-May-13		28	31	170.15
30-May-13		29	31	170.20
31-May-13		30	31	170.25
1-June-13	170.3

The application is automatically inwarded in the receiving office/ department and marked to the administrator of that department.

Ans : Yes, however, such NBFC-Factors will need to obtain the necessary authorization from the Foreign Exchange Department of the Bank under FEMA 1999 as amended and adhere to all the FEMA regulations in this regard.

While RBI will facilitate the trading platform for buying and selling of G-Secs, RBI shall not have any relationship, direct or otherwise, with any of the GAH granted access to NDS-OM Web. Further, the RBI has no role in any possible disputes between GAH and PM.

Ans : Yes NBFCs and NBFC-IFCs need to take prior approval from the Reserve Bank for sponsoring IDFs.

Reserve Bank of India (RBI) has authorised various types of payment systems to enable transfer of funds. You may refer to the following link on RBI website to get overview of various payment systems available in India:

/en/web/rbi/payment-and-settlements

‘Direct from the source system without any manual intervention’ implies that whatever data and information is available in CBS and other IT systems of the banks would be submitted to the regulator without any manual aggregation, conversion or filling of data.  Activities like collecting or collating of data from diverse source systems and compiling them into RBI prescribed formats manually would fall within the meaning of manual intervention.

Ans The receiving branch acknowledges every transaction it receives after crediting the beneficiary’s account. The acknowledgment particulars reach the remitting branch as an inward message on Day 3 of the EFT processing cycle. The remitting branch will, therefore, have precise information as to when the beneficiary’s account was credited.

Permanent Account Number (PAN) is the KYC document for individuals depositing in the scheme. If a declarant does not hold PAN, he shall apply for PAN and provide the details of such PAN application along with acknowledgement number to the bank while making the application. On receipt of PAN, the details may be updated with the bank from which application was made.

All funds held in the same type of ownership at the same bank are added together before deposit insurance is determined. If the funds are in different types of ownership or are deposited into separate banks they would then be separately insured.

Ans. Yes, this is permissible. With effect from July 01, 2016, all eligible current account transactions including trade transactions in “Euro” are permitted to be settled outside the ACU mechanism until further notice.

In connection with private visits abroad, viz., for tourism purposes, etc., foreign exchange up to USD10,000, in any one calendar year may be obtained from an authorised dealer. The ceiling of USD10,000 is applicable in aggregate and foreign exchange may be obtained for one or more than one visit provided the aggregate foreign exchange availed of in one calendar year does not exceed the prescribed ceiling of US$10,000 {The facility was earlier called B.T.Q or F.T.S.}. This limit of USD10,000 can be availed of by a person along with foreign exchange for travel abroad for any purpose, including for employment or immigration or studies. However, no foreign exchange is available for visit to Nepal and/or Bhutan for any purpose.

Ans: No, there is no limit imposed by the RBI for funds transfer through NEFT system. However, a member bank may place amount limits based on its own risk perception with the approval of its Board.

Yes. The prescribed minimum NOF needs to be maintained on an ongoing basis.

The accredited banks are paid remuneration by RBI for conduct of State/Central Government transactions. Such remuneration is called Agency Commission. The rates of agency commission applicable at present (from July 1, 2019) are as under:

No.		Type of Transaction	Unit	Revised Rate
a.	(i)	Receipts – Physical mode	Per transaction	₹ 40/-
	(ii)	Receipts – e-mode *	Per transaction	₹ 9/-
b.	(i)	Payments – Pension	Per transaction	₹ 75/-
	(ii)	Payments – Other than pension	Per ₹ 100 turnover	6.5 paise
*In this context, it may please be noted that ‘Receipts – e-mode’ indicated against Sl. No. a(ii) in the above table would refer to those transactions involving remittance of funds from the remitter’s bank account through internet banking as well as all such transactions which do not involve physical receipt of cash / instruments.

An investor can make only a single bid through an aggregator under this scheme in each specified auction. The aggregator or facilitator through whom the investor bids, will obtain and keep on record an undertaking to the effect that the investor is not making a bid through any other aggregator or facilitator.

Under the One Nation, One Grid project, three CTS grids explained above are to be merged to create a single grid for the nation. Single grid shall benefit customers with faster realisation of outstation cheques. It shall also benefit banks with easier fund management, streamlining of infrastructure and overall efficiency improvements.

The beneficiary has to furnish a mandate to the user institution giving consent to avail the ECS Credit facility. The mandate contains details of his / her bank branch, account particulars and authorises the user institution to afford credit to his / her account with the destination bank branch.

One's complaint will not be considered if:One has not approached his bank for redressal of his grievance first.One has not made the complaint within one year from the date of receipt of the reply of the bank or if no reply is received, and the complaint to Banking Ombudsman is made after the lapse of more than one year and one month from the date of complaint made to the bank.The subject matter of the complaint is pending for disposal / has already been dealt with at any other forum like court of law, consumer court etc.Frivolous or vexatious complaints.The institution complained against is not covered under the scheme.The subject matter of the complaint is not pertaining to the grounds of complaint specified under Clause 8 of the Banking Ombudsman Scheme. If the complaint is for the same subject matter that was settled through the office of the Banking Ombudsman in any previous proceedings.

No. The scheme is not applicable for Treasury Bills.How to participate in the auction ?

Banks may not normally refuse premature withdrawal of term deposits of individuals and Hindu Undivided families, irrespective of the size of the deposit. However, the bank at its discretion, may disallow premature withdrawal of large deposits held by entities other than individuals and Hindu Undivided Families. Banks should notify such depositors of its policy of disallowing premature withdrawals in advance i.e. at the time of acceptance of deposits

No. Remittance of the actual cost of advertisement in Print Media abroad or on Internet is permitted by authorised dealers, subject to payment of applicable taxes, if any.

Real estate sector and Banking are the prohibited sectors for overseas investment. However, Indian banks operating in India can set up JV/WOS abroad provided they obtain clearance under the Banking Regulation Act 1949.

Dance troupes, artistes, etc., who wish to undertake cultural tours abroad, should obtain prior approval from the Ministry of Human Resources Development, Government of India, New Delhi.

Ans. On return from a foreign trip, travellers are required to surrender unspent foreign exchange held in the form of currency notes and travellers cheques within 180 days of return. However, they are free to retain foreign exchange up to USD 2,000, in the form of foreign currency notes or TCs for future use or credit to their Resident Foreign Currency (Domestic) [RFC (Domestic)] Accounts.

Ans. No.

Ans. i) Inward remittance through normal banking channels, other than remittances received on account of foreign currency loan or investment received from abroad or received for meeting specific obligations by the account holder;

ii) Payments received in foreign exchange by a 100 per cent Export Oriented Unit or a unit in (a) Export Processing Zone or (b) Software Technology Park or (c) Electronic Hardware Technology Park for supply of goods to similar such units or to a unit in Domestic Tariff Area;

iii) Payments received in foreign exchange by a unit in the Domestic Tariff Area for supply of goods to a unit in the Special Economic Zone (SEZ);

iv) Payment received by an exporter from an account maintained with an authorised dealer for the purpose of counter trade. (Counter trade is an arrangement involving adjustment of value of goods imported into India against value of goods exported from India in terms of the Reserve Bank guidelines);

v) Advance remittance received by an exporter towards export of goods or services;

vi) Payment received for export of goods and services from India, out of funds representing repayment of State Credit in U.S. Dollar held in the account of Bank for Foreign Economic Affairs, Moscow, with an authorised dealer in India;

vii) Professional earnings including directors’ fee, consultancy fee, lecture fee, honorarium and similar other earnings received by a professional by rendering services in his individual capacity;

viii) Re-credit of unutilised foreign currency earlier withdrawn from the account;

ix) Amount representing repayment by the account holder's importer customer in respect of trade related loan/advances granted by the exporter (subject to compliance with the extant guidelines) holding EEFC account; and

x) The disinvestment proceeds received by the resident account holder on conversion of shares held by him to ADRs/GDRs under the Sponsored ADR/GDR Scheme approved by the Foreign Investment Promotion Board of the Government of India.

Yes. Banks have been advised to make their USD Cheque Collection process transparent. Various modes of collection along with the timeframe and charges for collection shall be covered therein. Customers could request for any of the collection modes specified in the USD Cheque Collection Policy based on need, convenience and cost involved.