The Reserve Bank of India (RBI) has notified a new set of regulations regarding bank lockers and safe custody goods and they will be in effect in 2025 (for many provisions) and some will be mandatory from November 1, 2025. The alterations are introduced for the purpose of making things clearer, securing the whole process, and clarifying liabilities as well accompanied by a series of past customer complaints and disputes.
Clearer Rider: Locker Agreement & Customer-Bank Relationship
Norms have been updated and every locker holder, whether old or new, will now have to sign a formal stamped locker agreement with the bank. Based on this agreement the relationship has been defined as that of a “lessor-lessee” (the bank gives space; the customer has the right to the contents). It is a must for the bank to give the customer the copy of the agreement at the time of allotment. If you are a current locker holder and you have not yet updated your agreement, then the bank could contact you in order to renew it according to the regulations.
What You Can or Cannot Store
The new regulations make it crystal clear that lockers are to be used for keeping “legitimate” items like jewelry, property papers, important documents, etc.; however, cash, currency notes, explosives, arms or weapons, hazardous or contraband materials, narcotics – in short, anything illegal or unsafe – are prohibited in lockers. Banks have the authority to open and inspect a locker if they suspect that the holder is storing prohibited items, but only if the locker-holder is present.
Security Standards, Liability & Bank’s Responsibilities
For the purpose of the security and accountability increase banks will be required to install the CCTV cameras in the vault and locker-rooms (at the entry/exit points and in common areas) that will be the recording of at least 180 days.
Furthermore, the biometric access might be also the entry-lever and banks will have to notify by SMS/email when the locker is accessed.
In case of the items kept in a locker getting lost or damaged due to the negligence of the bank (such as theft, fire, or fraud by bank staff), the bank will be liable for 100 times the annual rent of that locker at the most. But on the other hand, losses from natural disasters or “acts of God” (like floods, earthquakes) will not be the bank’s liability.
What You Should Do as a Locker-Holder
- Make sure your locker agreement has been updated and is signed in accordance with the RBI’s standard model. (If not, get in touch with your bank.)
- Do not put prohibited items such as cash, weapons, narcotics, or hazardous materials in your locker.
- Keep a record of your items – it would be wise to make an inventory list (especially if storing high-value items).
- If you have a locker, think about nominating a person or a survivorship clause – this helps in easy transfer if required.
- Stay informed: go to your bank branch or visit the official website to see if you have been issued any updated locker-rental agreement.
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