The Reserve Bank of India (RBI) has reported a staggering number of complaints against Paytm Payments Bank Ltd (PPBL) in the fiscal year 2022-23, marking it as the payment bank with the highest number of grievances per branch.
According to data from RBI Ombudsman offices, PPBL received a total of 3,513 complaints, averaging 501.86 complaints per branch. This figure places PPBL at the top of the list among payments banks in terms of customer grievances.
Following PPBL, NSDL Payments Bank reported 107.00 complaints per branch, while Airtel Payments Bank recorded 41.52 complaints per branch. In stark contrast, India Post Payments Bank (IPPB) reported the lowest number of complaints per branch at 0.56.
The RBI’s decision to impose business restrictions on PPBL on January 31, citing rule violations, adds weight to the significance of these complaints. PPBL has been given until March 15 to wind down its operations, highlighting the severity of the issues raised.
Among small finance banks, AU Small Finance Bank received the highest number of complaints at 899, followed by Equitas Small Finance Bank (375) and Jana Small Finance Bank (310).
In the public sector banking domain, State Bank of India (SBI) recorded the highest number of complaints at 40,345, followed by Punjab National Bank and Bank of Baroda. Among private sector banks, ICICI Bank faced the most complaints with 16,602, trailed by HDFC Bank (14,979) and Axis Bank (13,713).
This data underscores the pressing need for robust customer service mechanisms within the digital banking sector, particularly for payments banks, to address customer grievances effectively and ensure a seamless banking experience for all.
