Bank Locker Facility: Know How Safe Is The Locker, Charges You Pay & Other Details

Bank Locker Facility: In a move to offer protection to bank customers in operating lockers, the Supreme Court on Friday has given six months to the Reserve Bank of India (RBI) for formulating regulations mandating the steps to be taken by banks with respect to locker facility management. It is also left open to the apex bank to issue suitable rules with respect to the responsibility owed by banks for any loss or damage to the contents of the lockers so that the controversy on this issue is clarified as well. The Supreme Court has given these directions to the apex bank stressing that banks cannot wash off their hands towards their customers for the operation of lockers, as per PTI report. Also Read: Fuel Price Hike: FM Sitharaman Says Centre, States Must Work Together To Resolve 'Vexatious' Issue

The apex court gave the oders while hearing a plea filed by Kolkata resident Amitabha Dasgupta against an order of the National Consumer Disputes Redressal Commission. She was looking for a direction to United Bank of India to return the seven ornaments that were in the locker, or alternatively pay Rs. 3 lakh towards the cost of jewelry, and compensation for damages, as per PTI.

What is the need for new regulation?

The court noted that people are still not comfortable keeping their liquid assets at home as "we are steadily moving towards a cashless economy." "Thus, as is evident from the rising demand for such services, lockers have become an essential service provided by every banking institution. Such services may be availed of by citizens as well as by foreign nationals," the bench said. The Supreme Court also cited in times of rapid advancements in technology, "we are now transitioning from dual key­operated lockers to electronically operated lockers."

What is the importance of bank locker?

Bank lockers are important for individuals looking for a place to safely store valuable jewellery, important documents, certificates and other precious things. One can avail the bank offer locker facility in both public and private sector bank by paying annual charges between Rs1,000 and Rs10,000 depending upon the size of the locker. Such lockers are believed to be safer than a home because of multiple layers of securities and surveillance offered.

How much you pay for such a facility?

The cost of a bank locker depends on the size and the bank branch you opt for. For instance if you rent a bank locker in the country’s largest public sector bank -State Bank of India (SBI) then you have to pay a charge of ₹1,500 plus GST annually for a small-sized locker (125x175x492cm) in urban and metro areas. However in rural areas the same locker will cost ₹1,000 plus GST. In case you opt for an extra-large locker at SBI, you will have to pa ₹12,000 plus GST every year. Remember, there is a one-time registration charges as well depending on the size of the locker. In case of an SBI, the one-time locker registration charge comes to ₹500 plus GST for small and medium lockers while for large and extra-large lockers, it is ₹1,000 plus GST.

Wat should you know bank locker key?

There are usually two keys for a bank locker. One key is given to the individual who opens the bank locker and the other is held by the bank. You have to be careful with the key because in case the key is lost, you will be penalized and a fee is charged for the duplicate key or change of locker.