Updated for 2026 Syllabus Detailed Explanations High-Yield Core Concepts

Bank Promotion Exam Guide

Banking Awareness | Banking Knowledge | for all Bank Exams

Module: General Practice

Q24: Consider the following statements regarding the RBI's grievance redressal infrastructure:

Statement 1: The Reserve Bank - Integrated Ombudsman Scheme (RB-IOS) is a cost-free, alternate grievance redressal mechanism designed to resolve customer complaints involving a 'deficiency in service' by regulated entities.
Statement 2: The RBI has Centralised Receipt and Processing Centre (CRPC) in Chandigarh, bringing a 'One Nation, One Ombudsman' approach by serving as a single, jurisdiction-neutral receipt point for all physical and email complaints.
Statement 3: Under the updated 2026 framework, the RBI Ombudsman has the heightened power to award compensation of up to ₹30 lakh for consequential financial loss suffered by the complainant.
Statement 4: The Ombudsman is also empowered to award an additional maximum compensation of up to ₹3 lakh specifically for the loss of the complainant's time, expenses incurred, and mental anguish.
Which of the above statements is/are correct?
A
Only 1 and 2
B
Only 2, 3 and 4
C
Only 1, 3 and 4
D
All 1, 2, 3 and 4
✅ Correct Answer: D
🎯 Quick Answer:
All statements are correct. (Option D)
Concept Definition: An Ombudsman is an independent, quasi-judicial authority appointed to resolve disputes.
The RB-IOS covers banks, NBFCs, Payment System Participants (like mobile wallets), and Credit Information Companies (like CIBIL). Structural Breakdown: The CRPC conducts the initial scrutiny of a complaint.
It checks if the complaint is maintainable (e.g., ensuring it isn't already pending in a civil court) and then automatically routes it through the Complaint Management System (CMS) to an adjudicating Ombudsman office.
Historical / Static Context: Previously, India had three separate ombudsman schemes (Banking, NBFC, and Digital Transactions) with fragmented territorial jurisdictions.
If a customer in Delhi complained to the Mumbai office, it was rejected on jurisdictional grounds.
The Dynamic Update (NEW) & Data: The 2026 framework officially consolidates the "One Nation, One Ombudsman" mechanism via the CRPC located in Chandigarh (Statement 2). The hard financial data tested are the newly revised compensation limits: the Ombudsman can now award up to ₹30 lakh for direct financial loss (Statement 3) and an extra ₹3 lakh specifically to cover mental harassment and lost time (Statement 4).