Monday, November 27, 2017

Tanzania:Banks settle 270,000 consumer complaints in 2yrs

DAILY NEWS Reporter
BANK consumer rights and awareness has increased considerably with 268,325 complaints resolved in two years.

The numbers, according to Bank of Tanzania, showed fruits of establishing of a complaint desk at each bank and main desk at central bank that deals with referral complaints.
Data show that a total of 274,044 complaints were registered during the period and 268,325 were resolved, depicting that over 500 complaints are settled by some 60 financial institutions a day or over 11,000 a month.
On other hand, trend tells that discipline in resolving consumers’ complaints has improved among commercial banks in two years after the establishment of special Complaints Resolution Desk at BoT.
The BoT Deputy Governor, Financial Stability and Deepening, Dr Bernard Kibesse, said the establishment of the Desk has served as a catalyst for banks to put in place or upgrade their internal complaints handling mechanisms to better address consumers’ complaints.
“There is no doubt, in its two years of operation, the Desk has become an important part of ‘soft’ infrastructure of our banking industry as it responds to the needs of many banking customers,” he said during the stakeholders’ workshop on consumers’ complaints resolution held in Bagamoyo, Coast Region over the weekend.
A total 274,044 complaints were received by banking institutions as at end of September, 2017 and 268,325 complaints have been disposed of to the satisfaction of complainants. A total of 5,325 complaints remain pending or in progress some of which have been received at the Desk for further review.
Most of the complaints were related to the use of ATMs, loans and advances, cheque and online banking. He said customer service and delivery of services have improved significantly, thus forestalling possible visits to the Desk. He said some banks have established call centres as a result of increased number of complaints and desire to address complaints more efficiently and effectively.
The current scheme involving the Desk has dramatically lowered the cost, and addressed the complexities associated with Courts of law. It has also introduced breath-taking efficiency and effectiveness in dealing with consumer complaints.
While championing the rights of consumers of banking services, the Desk has played a balancing game, underscoring the responsibilities of consumers whose complaints have been deemed to have no merit.
It is the consumer’s responsibility, for example, to provide complete and accurate information on his financial status, to read carefully and understand the agreements he signs and to take responsibility for his financial decisions.
This scheme has also been of tremendous benefits to banks as complaints provide feedback for improvement and thus banks ought to take consumer’s complaints as opportunity for changes in the way they conduct business.

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