If the bank fails to complete these 5 tasks, it will pay you a penalty ranging from ₹100 to ₹5,000 per day..

Is your bank failing to complete a task within the stipulated timeframe? If so, you may be eligible for compensation from the bank in certain instances. The Reserve Bank of India (RBI) has established specific timelines for various banking services. If a bank completes a task beyond the prescribed deadline, there is a provision to compensate the customer daily in certain cases. This compensation amount can range from ₹100 to ₹5,000 per day.

According to financial experts, the RBI's compensation mechanism is based on defined time limits. Essentially, if a specific deadline is set for a banking service and the bank exceeds it, the customer may be entitled to daily compensation under the relevant regulations.

1. Failure of UPI, ATM, or Digital Payments
If you make a payment via UPI, ATM, card, or any other digital channel and the money is debited from your account but the transaction fails to complete, the bank is required to rectify the issue within a specified timeframe. Under RBI guidelines, banks are generally required to refund the money within 'T+1' or 'T+5' days. If the bank fails to refund the amount within the stipulated period, it may be liable to pay compensation of ₹100 per day. In many instances, the bank must pay this compensation without the customer having to make a specific request for it. However, in cases involving unauthorized transactions, the customer's liability depends on the specific circumstances; therefore, compensation rules may differ in such situations.

2. Delay in Closing a Credit Card
If you wish to close your credit card, the bank or the card-issuing company is required to process your request within seven working days. If the bank fails to close the card within this timeframe, it may be liable to pay compensation of ₹500 per calendar day. This penalty may continue to accrue until the card account is officially closed. 

3. Delay in returning property documents after loan repayment
If you have fully repaid your home loan or any other loan, the bank or lending institution is required to return your original property documents within 30 days. If the delay in returning the documents is due to the bank, RBI regulations mandate that the bank pay compensation of ₹5,000 per day. If the documents held by the bank are lost or damaged, the bank must assist in obtaining duplicate copies and bear the associated costs.

4. Delay in rectifying errors in the credit report
If there is incorrect information in your credit report and you have lodged a complaint with the bank or the concerned institution, it must be rectified within a stipulated timeframe. Complaints regarding credit reports should be resolved within 30 days. If the bank fails to resolve the complaint within this period, the customer may be entitled to compensation of ₹100 per calendar day. Therefore, if your credit report shows an incorrect loan, an erroneous outstanding amount, or details related to another account, it is crucial to preserve the complaint date and all related documentation.

5. Loss of contents in a bank locker
RBI regulations also define the bank's liability in the event of loss of contents in a bank locker due to theft, fire, fraud, or bank negligence. In such cases, the bank's maximum liability can extend up to 100 times the annual locker rent. For instance, if the annual locker rent is ₹3,000, the maximum liability under the rules could be ₹3 lakh. However, it is important to note that claims for compensation regarding the loss of locker contents are determined based on the specific circumstances and applicable RBI regulations.

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