Bank Locker Rules : Locker Charges, Insurance Policy and Regulation

Banks are one of the most crucial sectors of an economy that carries out various finance-related functions to ease the lives of people. One of the functions or services that it provides is the service of a bank locker. A bank locker allows people to keep their valuable items safe and secure under the purview of a competent and trusted institution.

Bank Locker Rules You Need To Know

There are some bank locker rules set by the RBI that one should know about. All of those major bank locker rules are listed below in detail.

Allotment of Bank Lockers

Banks allotted lockers are purely based on availability and maintain long waitlists. Customers cannot demand a locker as a right. The allotment policy might prioritise certain customer segments, that is, large account holders, women, pensioners, and so on. The branch manager has authority over the final locker allocation. So make sure you find a vacant bank locker nearby.

How To Check Locker Availability In Banks?

Please visit the bank directly or visit the website of the bank to check the locker availability and apply for one accordingly.

Eligibility For Opening A Bank Locker

Usually, one needs to have a bank account to opt for a locker in a specific bank branch but there are some banks as well that allow people to apply for bank lockers without having a bank account.

Required Documents

People need to submit some supporting documents to successfully apply for a bank locker. The list of those documents are:

• Proof of identity

• Bank account details

• Passport-sized photographs

Charges Of Bank Lockers

Charges vary from one bank to another bank and locker rent is charged annually. Banks may charge a set amount as a refundable security deposit.

Things To Ensure While Opening A Bank Locker

The customers must fill out a KYC form while applying for a locker. This is so that the bank can get details about the person they are renting the locker to. It also maintains transparency. Customers can choose bank locker sizes according to their needs and bank locker charges.

Customers should also clarify the locker rent payments so that no confusion arises and they can make timely payments.

While choosing the locker, customers fill out a nomination form authorising 1-2 persons for access. Banks only allow these pre-authorised persons. They do not entertain verbal consent over the phone or mail for temporary access for obvious security purposes. The locker can, however, be hired by many individuals with joint access rights. Nominees will also be able to access the locker in the absence of the customer.

To make sure no fraudulent activities take place, the banks have CCTV and biometrics to keep all the valuables of their customers safe. Customers should always remain alert, and if they feel any suspicion, they should immediately contact the bank.

Customers are given allotted hours to use the lockers provided by the bank. Delay charges are imposed beyond this duration. The locker holder bears responsibility for properly securing the locker during each visit. The bank provides the locker facility and is not accountable for claimed missing items unless proof exists of forced opening.

Annual locker rent needs advance payment by a set due date, failing which the locker gets seized. Before seizing, banks issue reminders via letters and SMS. Once seized, the locker only gets reopened upon paying pending dues with a penalty. Locker holders must thus update their contact details for timely reminders to avoid being charged the penalty mentioned above.

How To Close The Bank Locker?

As per the bank locker rules, if customers wish to close the locker, they must apply and empty the locker before banks cancel the allotment. A closure report signed by the customer concludes the process. Any claims about locker contents need to be reported by customers beforehand.

To make sure no fraudulent activities take place, the banks have CCTV and biometrics to keep all the valuables of their customers safe. Customers should always remain alert, and if they feel any suspicion, they should immediately contact the bank.

Banks offer insurance for lockers in case of fire or theft. The insurance protects the valuable items kept in the locker. So, make sure to read the insurance coverage thoroughly to stay ahead of such situations.

List Of Items Allowed In Bank Lockers

Usually, people can store their jewellery, important documents, property papers, contracts, and financial assets in bank lockers. Any illegal items cannot be stored in bank lockers.

Rules For Bank Lockers In Case Of Theft

In case of theft or robbery in the bank, the bank is fully responsible for investigating the incident and providing compensation to the locker holder if theft happened due to the bank's hazy security. Banks are required to cover 100 times the annual rent of the locker as compensation to the locker holder.

Conclusion

While signing the agreement for the locker, make sure to read the bank locker rules to maintain transparency. Overall, knowing existing terms on bank lockers, usage, charges, and closure protocols is essential. This prevents misunderstandings and disputes and helps promote a hassle-free experience.

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