{"id":4624,"date":"2021-09-21T18:04:08","date_gmt":"2021-09-21T12:34:08","guid":{"rendered":"https:\/\/www.tickertape.in\/blog\/?p=4624"},"modified":"2022-05-24T18:12:12","modified_gmt":"2022-05-24T12:42:12","slug":"bank-locker-safe","status":"publish","type":"post","link":"https:\/\/www.tickertape.in\/blog\/bank-locker-safe\/","title":{"rendered":"How Safe Is Your Bank Locker?"},"content":{"rendered":"\n<p>You turn to a bank locker to keep your assets such as <a href=\"https:\/\/www.tickertape.in\/blog\/the-golden-behaviour-during-crisis\/\">gold<\/a> and jewellery safe. But how safe is it? In case of loss or damage of the contents, a bank could plead ignorance of the contents. Thankfully, the Supreme Court directed the <a href=\"https:\/\/www.tickertape.in\/blog\/rbi-new-mandate\/?utm_source=blog&amp;utm_medium=article\">RBI<\/a> to amend the guidelines to enhance the safety of your locker. Let us take a look.<\/p>\n\n\n\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_66_1 counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title \" >Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.tickertape.in\/blog\/bank-locker-safe\/#What-are-the-revised-instructions-for-safe-deposit-locker-services\" title=\"What are the revised instructions for safe deposit locker services?\">What are the revised instructions for safe deposit locker services?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.tickertape.in\/blog\/bank-locker-safe\/#When-is-the-bank-not-liable\" title=\"When is the bank not liable?\">When is the bank not liable?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.tickertape.in\/blog\/bank-locker-safe\/#What-is-the-outcome-of-the-revised-guidelines\" title=\"What is the outcome of the revised guidelines?\">What is the outcome of the revised guidelines?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.tickertape.in\/blog\/bank-locker-safe\/#Beware-What-if-the-bank-offers-insurance-for-the-locker\" title=\"Beware! What if the bank offers insurance for the locker?\">Beware! What if the bank offers insurance for the locker?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.tickertape.in\/blog\/bank-locker-safe\/#FAQs\" title=\"FAQs\">FAQs<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.tickertape.in\/blog\/bank-locker-safe\/#What-happens-when-you-dont-pay-the-locker-rent\" title=\"What happens when you don\u2019t pay the locker rent?\">What happens when you don\u2019t pay the locker rent?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.tickertape.in\/blog\/bank-locker-safe\/#Can-the-bank-demand-a-term-deposit-to-avail-locker-services\" title=\"Can the bank demand a term deposit to avail locker services?\">Can the bank demand a term deposit to avail locker services?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/www.tickertape.in\/blog\/bank-locker-safe\/#What-is-the-scope-of-application-of-the-revised-instructions\" title=\"What is the scope of application of the revised instructions?\">What is the scope of application of the revised instructions?<\/a><\/li><\/ul><\/li><\/ul><\/nav><\/div>\n<h2 class=\"wp-block-heading\" id=\"Revised\"><span class=\"ez-toc-section\" id=\"What-are-the-revised-instructions-for-safe-deposit-locker-services\"><\/span><strong>What are the revised instructions for safe deposit locker services?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Based on the Supreme Court\u2019s directions, the RBI came up with amended guidelines that create a liability of the locker on banks. A bank would be liable for loss of contents due to fire, theft, negligence, damage to building or fraud committed by their employees. In case of an unwarranted situation, the bank\u2019s liability will be equivalent to 100 times the current annual rent of the locker.<\/p>\n\n\n<span class='bctt-click-to-tweet'><span class='bctt-ctt-text'><a href='https:\/\/twitter.com\/intent\/tweet?url=https%3A%2F%2Fwww.tickertape.in%2Fblog%2Fbank-locker-safe%2F&#038;text=As%20per%20the%20revised%20instructions%20for%20a%20safe%20deposit%20locker%2C%20a%20bank%20would%20be%20liable%20for%20loss%20of%20contents%20due%20to%20reasons%20including%20negligence%20and%20fraud%20committed%20by%20their%20employees.%20The%20liability%20will%20equal%20100x%20the%20annual%20locker%20rent.&#038;via=TickertapeIN&#038;related=TickertapeIN' target='_blank'rel=\"noopener noreferrer\">As per the revised instructions for a safe deposit locker, a bank would be liable for loss of contents due to reasons including negligence and fraud committed by their employees. The liability will equal 100x the annual locker rent. <\/a><\/span><a href='https:\/\/twitter.com\/intent\/tweet?url=https%3A%2F%2Fwww.tickertape.in%2Fblog%2Fbank-locker-safe%2F&#038;text=As%20per%20the%20revised%20instructions%20for%20a%20safe%20deposit%20locker%2C%20a%20bank%20would%20be%20liable%20for%20loss%20of%20contents%20due%20to%20reasons%20including%20negligence%20and%20fraud%20committed%20by%20their%20employees.%20The%20liability%20will%20equal%20100x%20the%20annual%20locker%20rent.&#038;via=TickertapeIN&#038;related=TickertapeIN' target='_blank' class='bctt-ctt-btn'rel=\"noopener noreferrer\">Click To Tweet<\/a><\/span>\n\n\n<h2 class=\"wp-block-heading\" id=\"When\"><span class=\"ez-toc-section\" id=\"When-is-the-bank-not-liable\"><\/span><strong>When is the bank not liable?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>If the cause of the damage and\/or loss of the locker contents is natural calamities or acts of God, including floods and earthquakes, and the sole negligence of the customer, the bank will not be held liable.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What-is-the-outcome-of-the-revised-guidelines\"><\/span><strong>What is the outcome of the revised guidelines?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>Banks can no longer deny their liability of a safe <a href=\"https:\/\/blog.tickertape.in\/crisil-ratings-impact-fixed-deposit\/?utm_source=blog&amp;utm_medium=article\" rel=\"nofollow noopener\" target=\"_blank\">deposit<\/a> citing ignorance about the contents.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"Beware\"><span class=\"ez-toc-section\" id=\"Beware-What-if-the-bank-offers-insurance-for-the-locker\"><\/span><strong>Beware! What if the bank offers insurance for the locker?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<p>The new guidelines also make it clear that banks can\u2019t\u2014directly or indirectly\u2014offer insurance for the locker contents. The reason is simple. Banks do not maintain a record of your locker contents. Ergo, they are not under any liability to insure the contents of your locker.<\/p>\n\n\n\n<h2 class=\"wp-block-heading\" id=\"FAQs\"><span class=\"ez-toc-section\" id=\"FAQs\"><\/span><strong>FAQs<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What-happens-when-you-dont-pay-the-locker-rent\"><\/span><strong>What happens when you don\u2019t pay the locker rent?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>In case you failed to pay the rent for 3 yrs in a row, a bank has the discretion to break open your locker. But before making any changes in the allotment of your locker, you are entitled to get a reasonable opportunity to withdraw the contents of your safe deposit.<\/p>\n\n\n\n<p>If you still don\u2019t pay the rent, the bank will seal the contents of the locker in an envelope until you claim it.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"Can-the-bank-demand-a-term-deposit-to-avail-locker-services\"><\/span><strong>Can the bank demand a term deposit to avail locker services?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>Yes, banks are allowed to do that at the time of allotting you a locker. This is to ensure that you are prompt in paying the rent. The term deposit cannot be more than 3 yrs\u2019 rent and the charges of breaking the locker.<\/p>\n\n\n\n<p>Note that banks cannot demand a term deposit from existing locker holders and those that have a satisfactory operative account.<\/p>\n\n\n\n<h3 class=\"wp-block-heading\"><span class=\"ez-toc-section\" id=\"What-is-the-scope-of-application-of-the-revised-instructions\"><\/span><strong>What is the scope of application of the revised instructions?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h3>\n\n\n\n<p>These will apply to both new and existing lockers.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>A bank can no longer cite ignorance of contents for loss or damage caused to your assets in a safe deposit locker.<\/p>\n","protected":false},"author":27,"featured_media":4630,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"_acf_changed":false,"inline_featured_image":false,"_lmt_disableupdate":"no","_lmt_disable":"no","footnotes":""},"categories":[8,1738],"tags":[50,782],"acf":[],"modified_by":"Aradhana Gotur","jetpack_featured_media_url":"https:\/\/www.tickertape.in\/blog\/wp-content\/uploads\/2021\/09\/How-safe-is-your-bank-locker_.png?wsr","_links":{"self":[{"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/posts\/4624"}],"collection":[{"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/users\/27"}],"replies":[{"embeddable":true,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/comments?post=4624"}],"version-history":[{"count":12,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/posts\/4624\/revisions"}],"predecessor-version":[{"id":8699,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/posts\/4624\/revisions\/8699"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/media\/4630"}],"wp:attachment":[{"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/media?parent=4624"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/categories?post=4624"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.tickertape.in\/blog\/wp-json\/wp\/v2\/tags?post=4624"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}