RBI panel says couriering of cheque books unfair

The Reserve Bank of India-constituted committee on procedures and performance audit on public services has frowned upon the practice of 'some banks' not allowing depositors to collect their cheque book at the branch but insisting on despatching the same by courier.

Dubbing this practice as 'unfair', it has asked the banks to ensure that cheque books are delivered over the counters upon request to depositors or their authorised representatives.

The committee also asked banks to refrain from forcing depositors to sign a declaration that a despatch by the courier is at his risk and that the depositor shall not hold the bank liable in any manner.

Private and foreign banks usually despatch cheque books by courier and also take a declaration from depositors to the effect that they are not liable for in any manner whatsoever in respect of the despatch.

The committee has recommended that both the drop box facility and facility for acknowledgement of cheques at the regular collection counters should be available to customers and no branch should refuse to give an acknowledgement if the customer tenders the cheque at the counters.

The RBI, while agreeing with this recommendation, has advised that it is important that there is no curtailment of the depositor's right to obtain an acknowledgement by going to the concerned counter.

It has observed that banks invariably show entries in depositors passbooks / statement of accounts as "By Clearing" or "By Cheque".

Further, in the case of electronic clearing system (ECS) and RBI Electronic Funds Transfer (RBIEFT) banks invariably do not provide any details even though brief particulars of remittance is provided to the receiving bank. In some cases computerised entries use sophisticated codes which just cannot be deciphered.

With a view to avoiding inconvenience to depositors, banks have been advised to avoid inscrutable entries in passbooks / statements of account and ensure that brief, intelligible particulars are invariably entered in passbooks / statements of account.

Banks may also ensure that they adhere to the monthly periodicity prescribed while sending the statement of accounts.