Bank locker rules: RBI extends deadline for banks to renew locker agreements till Dec 31

The Reserve Bank of India on Monday extended the time for renewal of agreements for existing safe deposit locker facilities provided by banks till December 2023.

The RBI said the deadline will be extended in a phased manner by December 31, 2023, with intermediate milestones of 50 percent by June 30, 2023, and 75 percent by September 30, 2023.

Moreover, the RBI said the banks have been advised to make necessary arrangements to facilitate the execution of the revised agreements by ensuring the availability of stamp papers, etc.

The RBI had in August 2021 asked banks to enter into revised agreements with the existing locker holders by January 1, 2023 in view of various developments in the area of banking and technology, nature of consumer grievances and also the feedback received.

The RBI said the banks have been asked to notify all their customers of the revised requirements by April 30, 2023 and ensure that at least 50 per cent and 75 per cent of their existing customers have executed the revised agreements by June 30 and September 30, 2023, respectively.

The RBI also said the banks will have to facilitate execution of the fresh/supplementary stamped agreements with their customers by taking measures such as arranging stamp papers, electronic execution of agreement, e-stamping, and providing a copy of the executed agreement to the customer.

The Central Bank further said in cases where operations in lockers have been frozen for non-execution of agreement by January 1, 2023, “the same shall be unfrozen with immediate effect”.

The RBI said there is a need for revision in the Model Agreement drafted by the Indian Banks’ Association (IBA) to fully comply with the revised instructions.