The RBI has extended the bank locker's agreement renewal date to December 31, 2023. All you need to know

The RBI has extended the bank locker agreement renewal date to December 31, 2023.

Bank Locker Agreement Date Extended

The RBI has extended the bank locker agreement renewal date for the existing customers to the end of the calendar year (December 31). It has been decided because the customers were facing difficulties renewing their agreements on the first day of the year. It also found that many banks still needed to inform their existing customers about the requirement for renewing their locker agreements. We also believe there is a requirement to revise the Indian Banking Association (IBA) Model Agreement. 

Also ReadAll you need to know about the bank locker rules set by the RBi

New Deadlines

  • The RBI decided December 31, 2023, as the latest date for customers to renew their bank locker agreements. 
  • The Reserve bank instructed other banks to advise its customers to notify the existing customers to renew their requirements by April 30, 2023, and renew 50% and 75% of the locker agreements by June 30, 2023, and September 30, 2023. 
  • The Reserve Bank has also advised the IBA to revise and distribute the Model Agreement to all the banks before February 28, 2023.

This Is What the RBI Said

The RBI said that banks had to renew their locker agreements with their existing customers before January 1, 2023. However, the RBI noticed that many customers were still left behind in executing the agreement and faced difficulties. In many cases, the banks have yet to inform their customers about the renewal. It also said there was a need to revise the IBA's Model Agreement through a January 23 circular. 

The Reserve Bank of India said that the deadlines would be extended to December 31 in a phased manner and instructed the banks to notify all the existing customers to renew 50% and 75% of the locker agreements by June 30, 2023, and September 30, 2023. 

Also ReadChanges in bank locker in January 2023

Conclusion

The RBI also said that the banks must report the compliance status with the instructions on the DAKSH portal, which is the monthly supervisory portal of the Reserve Bank. The RBI has asked banks to unfreeze the frozen accounts for non-execution of agreements immediately. 

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