Module: General Practice
Q5: According to the Reserve Bank of India's harmonization of Turn Around Time (TAT) framework, what is the mandatory timeline for a bank to pro-actively reverse a failed ATM transaction where the account is debited but cash is not dispensed?
✅ Correct Answer: C
The correct timeline is T plus 5 calendar days.
Under the RBI circular on Harmonisation of Turn Around Time (TAT) and customer compensation for failed transactions (2019), if a customer's account is debited but cash is not dispensed from an ATM (including micro-ATMs), the card-issuing bank must pro-actively reverse the amount within a maximum of T plus 5 calendar days.
Here, 'T' stands for the day of the transaction.
If the reversal is done within this period, no compensation is payable.
Under the RBI circular on Harmonisation of Turn Around Time (TAT) and customer compensation for failed transactions (2019), if a customer's account is debited but cash is not dispensed from an ATM (including micro-ATMs), the card-issuing bank must pro-actively reverse the amount within a maximum of T plus 5 calendar days.
Here, 'T' stands for the day of the transaction.
If the reversal is done within this period, no compensation is payable.