Keeping valuable and jewellery in bank locker is a common practice in India especially of middle and lower class. There are some points which you must know about bank lockers.
How it works?
Bank locker is the facility provides by bank to keep your valuable safe and it charges with the same. Just treat it like fixed deposit or saving bank account; however we need to pay for the locker and fdr or saving account fetch interest.
Bank allots the locker on FCFS (First come first serve) basis. However, in case of no free locker, banks need to issue a waiting list on the board, provide the application for locker and inform the desire person as soon as available.
Each bank locker has two keys, one with locker owner and one with bank. The locker will open with the two keys and not the one. Nomination for opening the locker is advisable in case of hassle free transfer of rights in any case of mis-happening.
The locker cost depends on bank and the size of the locker. SBI charges Rs. 1019 annually for small, 2547 for medium and 3056 for large locker.
In private banks the charges are on higher side for lockers. In Citibank for small locker you need to pay Rs. 2500 whereas the charges can go beyond Rs. 40000 for best deal for lockers in the bank.
There is a fees of opening the locker too, Sbi charges for opening locker is 509 rupees. Banks also charge for any overdue rent on lockers which may be 10-50% of rent annually.
There are charges on number of visits on lockers. However generally 12 visits annually are free and banks charge 50-100 rupees after number of free visit. But it is always recommend visiting regularly and checking your locker once in a month.
There are some charges for break up in locker or losing the key. However it’s bank duty to provide duplicate key in case of loosing key of bank locker.
According to RBI, banks are not responsible for losing your valuable in bank lockers even in the case of theft or robbery in the bank. But banks provide best class security in the premises as well as locker room so there are very few cases of losing the articles in the locker.
Bank account needed for locker
NO. According to RBI, banks cannot deny for a locker if you haven’t had a bank account with the bank. However bank can ask for advance rent of locker up to 3 years for security purpose.
Banks may ask for a saving account to complete the KYC norms. But some banks can ask for fixed deposit, insurance or ulip plans to purchase. You can complaint of the banks in this regard.
Banks are not responsible for any natural calamities like flood, earthquake etc. Banks are also not responsible for theft or robbery etc.
Banks do not note the articles, jewellery or cash you put it on the locker so it’s next to impossible for making a claim on losing the valuables.
However in case of theft or robbery one can appeal for the lack of security and can get some compensation.
Third person interference
Banks need to provide both keys to the third person like income tax department in the case of any raid or queries. Banks also disclose the name of locker holder with the department upon asking.