9. Transaction of “At Par Instruments” of Co-operative Banks by Commercial Banks

The RBI has expressed concern over the lack of transparency in the arrange- ment for payment of “At Par” instruments of Co-Operative Banks by commercial banks, resulting in dishonor of such instruments when the remitter has already paid for the instruments. In this connection it is clarified that the bank will not honour cheques drawn on Current Accounts maintained by other banks with it, unless arrangements are made for funding cheques issued. The Issuing Bank should be responsible to compensate the cheque holder for non-payment / delayed payment of cheques in the absence of adequate funding arrangement.

10. Lender’s Liability : Commitments to borrowers :

The Bank has adopted the principles of liability of lenders.  In terms of the guidelines for lender’s liability and the Code of Bank’s Commitment to customers, adopted by the Bank, the Bank would return to the borrowers, all the securities / documents / title deeds to the mortgaged property, within 15 days of repayment of all dues agreed to or contracted.  The Bank will compensate the borrower for monetory loss suffered, if any, due to delay in return of the same.  In the event of loss of title deeds to the mortgaged property, at the hands of the Bank, the compensation will cover out-of-pocket expenses for obtaining duplicate documents, plus a lumpsum amount as decided by the Bank.

11.  ATM Failure :
It is mandatory for the Bank to reimburse the customer, the amount wrongfully debited on account of failed ATM, within a maximum period of 12 working days from the receipt of the complaint.  For any failure to re-credit the customer’s account within 12 working days from the date of receipt of the complaint, bank shall pay compensation of Rs.100/- per day, to the aggrieved customer.  This compensation shall be credited to the customer’s account automatically, without any claim from the customer, on the same day when the Bank affords the credit for the failed ATM transactions.  Details of charge back in case of ATM transaction by a customer of the Bank when he uses other Bank ATM may be included.

12.  Force Majeure
The bank shall not be liable to compensate customers for delayed credit if some unforeseen event (including but not limited to civil commotion, sabotage, lockout, strike or other labour disturbances, accident, fires, natural disasters or other “Acts of God”, war, damage to the bank’s facilities or of its correspondent bank(s), absence of the usual means of communication or all types of transportation, etc., beyond the control of the bank prevents it from performing its obligations within the specified service delivery parameters.