Customer Rights For Unauthorised Online Money Transactions In India

Customer’s liabilities and rights vis-a-vis unauthorised third party online monetary transactions is well established in India. Reserve Bank of India (RBI) has issued two crucial frameworks in this regard that many customers are not aware of. First framework pertains to establishment of a sound and resilient cyber security infrastructure by banks in India. The second framework pertains to limiting the liability of customers for unauthorised e-banking transactions. Collectively, banks are required to maintain a techno legal environment that takes care of cyber security on the one hand and effective cyber crimes investigation capabilities on the other.

we at Perry4Law Organisation (P4LO) have been receiving grievances and assistance requests for ATM frauds, e-banking frauds, etc from bank customers where their money was withdrawn without their consent and participation. However, banks are reluctant in initiating a techno legal investigation to ascertain the truth and reality. Most banks lack the techno legal expertise to conduct a cyber crime investigation and they try to pass the buck to the customer who is already a victim.

Even policies of Indian government and RBI are also not customer friendly. For instance, if a victim of online fraud is not getting access to immediate remedies and grievance redressal mechanism, there is little benefit of the two frameworks discussed above. It is just like saying that customers and consumers have the rights but they cannot enforce them. That is as good as having no rights at all.

We have taken few steps to change this situation by combining Twitter/social media and our online dispute resolution (ODR) platform where consumers/customers can raise their grievances and we would try our level best to resolve the same. We have been receiving lots of complaints against banks that they are not refunding the amount withdrawn illegally and without authorisation of the customers. We are presently seized with one such long pending dispute and are in the process of issuing the notice to the concerned bank.

We at Perry4Law Organisation (P4LO) understand the value of your hard earned money. If bank, RBI, government, finance ministry, ombudsman, etc are not listening to you, do not hesitate to contact us and we would do our level best.

We have given you the legal framework above that empowers you to ask questions from banks. But banks may not listen to you and therefore we have also given you a platform to raise your voice. We hope this platform would be helpful in getting back your hard earned money back.