Bank Locker Rent.

[Brahmanyan]

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Yester day we got a letter from the Bank in which we have taken a medium sized Locker for rent, informing the yearly rent for the locker has been doubled to Rs.6000/- from Rs.3000/- . The new rent will come to effect from 1st June 2019.
I am told many other Banks have also increased Bank Charges similarly.No one will object for nominal increase in Locker Rent, but doubling looks exorbitant. Whether this has been done with the consent of any "regulatory authority" or left to the whims and pleasure of the Banks ?
Brahmanyan,
Bangalore.

 

[prasad1]

At Canara Bank, the charges are relatively lower.

Bank Lockers Of SBI Vs Canara Bank: Prices, Penalty And Other Charges

In State Bank of India (SBI), charges for the smallest locker amount to Rs 1,100 in a metro city. The medium-sized locker's charges amount to Rs 2,800 in a metro city.

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As per RBI guidelines, no Bank should demand for deposit. However, Banks are requesting customers to keep long term deposits, to meet the service cost viz., Lease rentals of Locker. The interest accrued on the FD will be credited towards the rent for Locker.

Conclusion
Although there are guidelines given by banks on locker operation, banks still try to circumvent the rules especially in forcing hirers to make investments beyond what is required as per RBI guidelines. Also the practice of locker facility only to bank account holders is against RBI policy. As banks generally have a minimum balance limit in all accounts.
Banks also try to avoid paying compensation in case there is security failure on their part.
It would be great if the RBI forces all the banks to compulsorily adopt nomination facility as a pre the condition for availing locker facility.

Rules and Regulations Governing Bank Lockers in India

Bank lockers are used for depositing valuables like gold, jewelry and important documents . It can be hired by individuals, firms, trusts, companies etc.

blog.ipleaders.in

 

[Brahmanyan]

At Canara Bank, the charges are relatively lower.

Bank Lockers Of SBI Vs Canara Bank: Prices, Penalty And Other Charges

In State Bank of India (SBI), charges for the smallest locker amount to Rs 1,100 in a metro city. The medium-sized locker's charges amount to Rs 2,800 in a metro city.

www.ndtv.com

As per RBI guidelines, no Bank should demand for deposit. However, Banks are requesting customers to keep long term deposits, to meet the service cost viz., Lease rentals of Locker. The interest accrued on the FD will be credited towards the rent for Locker.

Conclusion
Although there are guidelines given by banks on locker operation, banks still try to circumvent the rules especially in forcing hirers to make investments beyond what is required as per RBI guidelines. Also the practice of locker facility only to bank account holders is against RBI policy. As banks generally have a minimum balance limit in all accounts.
Banks also try to avoid paying compensation in case there is security failure on their part.
It would be great if the RBI forces all the banks to compulsorily adopt nomination facility as a pre the condition for availing locker facility.

When Banks lose huge amounts in NPA transactions, they try to squeeze the honest middle class who invest their hard earned savings. Interest on FDs and savings are reduced regularly, as against this Charges for transactions increased. Banks are ceased to be service organisations.
I wish Finance Ministry and RBI should examine all aspects of Banking and regularise the system to favour the small investors.

Brahmanyan,
Bangalore.

 

[tbs]

hi

locker charges are based on size.....every bank has different rate...i have two lockers in canara bank....

every bank increased their locker charges recently....automatic payment from savings account....nobody

generally argue with bankers....becoz lockers are deficient....demand is more and supply is less..so

ppl are ready to pay...

 

[vgane]

Brahmanyanji, Private Bank charges are more compared to public sector..Is your locker provided by private Bank?