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Customer’s Responsibility to Notify Unauthorized Transactions

Last updated on Jun 7, 2022

The customers must be advised to notify their bank of any unauthorised transaction as soon as they can or at the earliest possible opportunity. The longer the time taken to notify the bank, the higher will be the risk of loss to the bank/ customer.

The Bank will note the time of the SMS sent notifying the customer of the electronic banking transaction and the SMS/response received by the customer. This is done to ascertain the extent of a customer’s liability.

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Related Resources

Banks’ responsibility to prevent Online Bank Fraud

Banks must ask their customers to mandatorily register for SMS and email alerts for electronic banking transactions.

Lodging a complaint with the Bank

The Code of Bank’s Commitment to Customers (CBCC) enacted by the Banking Codes and Standards Board of India (BCSBI) lays down the rules.

Filing a complaint with the Banking Ombudsman

If solution provided by the bank is unsaisfactory and would like to further enquire the matter, you can approach the Banking Ombudsman

Customer Liability

There will be no customer liability for unauthorized transactions. However, negligence by the customer can attract customer liability.

Filing a complaint for Online Bank Fraud

A complaint against online bank fraud can be filed at your nearest police station by filing an FIR or online cyber cell portal.

Customer’s Right to be Protected from Online Bank Fraud

Customer's have the right to be protected from online bank fraud to receive SMS notification of all electronic banking transactions.