Financial institutions

Financial institutions must speed up the handling of customer complaints

The Bangladesh Bank has ordered non-banking financial institutions to activate their three-tier cells to expedite the handling of complaints from their customers.

In a circular issued on Monday, the central bank said the 2014 policy instructed to form customer complaints cells at the head office, regional office and branches of all non-banking financial institutions (NBFIs).

Today, the money market regulator asked the chief executives of all financial institutions to ensure that these cells play a more active role in speeding up the resolution of customer complaints.

Instructions have been given to handle and report complaints in a timely manner in accordance with central bank policy.

According to the circular, it has recently been seen that most customer complaints can be resolved by the internal complaint cells of financial institutions, but the number of complaints for non-resolution of complaints is increasing. Indeed, some institutions do not even accept complaints, which is why the central bank issued such instructions.

A senior official from the central bank’s relevant department said he had observed that many financial institutions were indeed following the 2014 guidelines on settling customer complaints. However, by issuing the new circular, institutions have been instructed again to be more efficient in resolving complaints.

The circular states that complaints from all types of customers such as depositors and borrowers must be received by acknowledgment in any department, including the head office of each financial institution.

Highly sensitive complaints that do not require investigation must be dealt with within three days and those that require investigation must be resolved within two weeks.

Sensitive complaints involving a large sum of money must be dealt with within five days and general complaints must be resolved within three days.

Financial institutions must submit aggregate customer complaint issues to the central bank’s web portal on a monthly or quarterly basis.