RBI Ombudsman Report FY25: SBI Faces Maximum Customer Grievances; Axis Bank Highest Among Private Players

In FY25, Indian banks continued to face a high volume of customer complaints, as revealed in their business responsibility and sustainability reports. The State Bank of India (SBI), the country's largest lender, recorded the most complaints among all banks. Axis Bank led the private sector in this regard. Despite some banks showing slight year-on-year improvements, the overall complaint numbers remained significant.

Public Sector Banks' Customer Complaints

SBI's report indicated over 6.87 lakh customer complaints in FY25, with 1.05 lakh unresolved by March end. These primarily involved unauthorised electronic debit transactions. Additionally, SBI received 12,502 complaints about delays in essential services like loan sanctions, up from 7,223 in FY24. The "other" category saw 21.50 lakh complaints, down from 24.02 lakh in FY24.

Punjab National Bank (PNB) reported a slight increase in total complaints, reaching 11.39 lakh in FY25 compared to 11.30 lakh in FY24. Meanwhile, Bank of Baroda (BoB) received 5.34 lakh complaints during the same period. Most grievances were related to internet and mobile banking services and ATM/debit card issues.

Private Banks' Customer Complaints

Axis Bank faced 4.97 lakh complaints regarding delays in essential services in FY25, with 8,782 still unresolved by March end. The bank also dealt with 76,111 "other" category complaints and issues related to advertising and unfair trade practices.

ICICI Bank experienced a rise in complaints about service delays, totalling 5.34 lakh in FY25 compared to 3.46 lakh the previous year. By March end, 45,151 of these were unresolved. The bank noted that its enhanced complaint reception mechanisms contributed to the increased numbers.

HDFC Bank reported a decrease in "other" category complaints from 4.70 lakh in FY24 to 4.42 lakh in FY25; however, 16,133 remained unresolved at fiscal year-end. Sashidhar Jagdishan, HDFC Bank's MD and CEO stated: "As we digitalised our journeys and employee, consumer adoption increased, our First Time Right service has improved resulting in significant reduction in customer complaints pertaining to delay in acquisition and servicing."

Customer Grievance Channels

SBI provides various channels for customers to lodge grievances or feedback through its contact centre available round-the-clock with IVR support and toll-free numbers offering assistance in multiple languages including Hindi and English.

Customers can also file complaints online via SBI's website using the customer request and complaint form (CRCF), internet banking platforms, mobile apps or designated email IDs listed on their site.

The data highlights ongoing challenges for Indian banks regarding customer satisfaction despite efforts to improve service delivery mechanisms across sectors.