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Corporate Laws Central Ministry of Finance Reserve Bank of India Act, 1934

Reserve Bank of India (Urban Co-operative Banks - Responsible Business Conduct) Directions, 2025

28-Nov-2025 | RBI/DOR/2025-26/292 DOR.MCS.REC.No.211/01-01-037/2025-26

RBI has issued RBI (Urban Co-operative Banks - Responsible Business Conduct) Directions, 2025 effective from 28th November 2025. Key Highlights: 1. Applicability - All Urban Co-operative Banks (UCBs), meaning Primary Co-operative Banks as defined under the Banking Regulation Act. 2. Fair Treatment of Customers - Banks must treat customers fairly and act honestly, transparently, and professionally. Banks must avoid misleading information, unfair treatment, and exploitation of customer ignorance. They must provide timely services, error-free transactions, and courteous customer interaction. 3. Transparency & Disclosure - Banks must give clear, accurate, and complete information about products, charges, terms, and risks. 4. Fair Pricing Practices - Banks must ensure all charges are reasonable, transparent, and clearly communicated upfront. 5. Data Protection & Privacy - Banks must protect customer data, keep information confidential, and share it only legally or with consent. 6. Grievance Redress & Complaint Handling - Banks must address customer complaints efficiently with a structured grievance redress mechanism. 7. Fair Recovery Practices - Banks must follow ethical and non-harassing methods during loan recovery. For more information, please refer to the attached document.

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