Judgement day arrives for payments in India
The Reserve Bank of India (RBI) has launched its Ombudsman Scheme for Digital Transactions (OSDT), for redressal of complaints around the digital transaction services.
Ombudsman arrives in India
According to the RBI’s statement, the scheme, which went live yesterday (31 January 2019), allows complaints against “system participants” defined in the scheme itself.
A system participant can be any person other than a bank participating in a payment system, excluding payment system operators.
The scheme was unveiled under the Payment and Settlement Systems Act, 2007, and will provide a “cost-free and expeditious” mechanism for those non-bank entities regulated by RBI.
The RBI already announced its plans in early December, in its Monetary Policy Statement.
Complaints relating to digital transactions conducted through banks will continue to be handled under the Banking Ombudsman Scheme.
The offices of Ombudsman for Digital Transactions will function from the existing 21 offices of the Banking Ombudsman and will handle complaints of customers from their respective territorial jurisdiction.
Recently, the central bank’s governor stepped down from his position.
