If your ATM card is stolen, you can block it by simply sending a text message.
This could soon become a reality if a proposal with the Reserve Bank of India (RBI) is implemented.
An RBI committee on customer service has also proposed a single toll-free call number for all banks, and suggested that loss of money in transactions made at ATM machines or in online transactions unrelated to customer errors should be treated as “zero liability” for customers.
“Blocking the ATM card by SMS will save customer's time and increase the use of plastic money in the country as customers will not have any fear of any fraud due to loss of the card,” said M Narendra, chairman, Indian Overseas Bank.
The panel has also recommended an increase of the limit up to which bank deposits are insured from problems that threaten their safety to R5 lakh from the current Rs 1 lakh.
“With the rise in general income levels resulting in increase in the size of individual bank deposits, this (current) ceiling of R1 lakh is considered insufficient,” said the report of the committee on customer service in banks.
The RBI proposals also include proper prescription of service charges for
basic services, providing small remittances at reasonable charges and providing floating rate housing loans without discrimination against any customer. The RBI had constituted the committee under the chairmanship of M Damodaran, former chairman, Securities and Exchange Board of India, to look into banking services rendered to retail and small customers, including pensioners.
The committee had submitted its report last month and the proposals were released to the public on Wednesday.
The Deposit Insurance and Credit Guarantee Corporation (DICGC) implements the insurance of bank deposits.