Bank locker facility: Don't sign that bank agreement until you know these charges
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Locker visits charge over the prescribed number of operations:
Locker rent overdue charge:
Break open charge for locker:
When will bank does not insist for term deposit to open locker?
Who is liable for fire, theft, burglary, robbery, dacoity in bank?
Banks provide safe deposit lockers to help customers securely store their valuables. The annual rent for these lockers varies depending on their size and the branch location, and it must be paid in advance for the financial year. Additionally, banks are required to provide locker-hirers with a signed copy of the Locker Agreement, which should clearly delineate their rights and responsibilities.In addition to the annual locker rent , banks levy various additional charges that customers should consider before availing of a safe deposit locker facility. These charges may vary from one bank to another, but they generally include:Also read: Legal heirs to find it easier to claim deceased person's bank account, lockers: RBI plans to simplify procedure A fee payable at the time of allotment of the locker, covering administrative and documentation costs.Customers are allowed a certain number of free visits to operate the locker in a year. Any visits beyond this limit attract additional charges.If the annual locker rent is not paid by the due date, the bank may levy an overdue penalty.In cases where the locker needs to be forcibly opened, such as for non-payment of rent, loss of keys, or on the customer's request charges for break-open, replacement of the lock, and related procedures will apply.As per HDFC Bank 's website, "Charges for key replacement will be recovered from the locker holder/s. Key replacement will be done by an authorised vendor in the presence of the locker holder/s and the bank official."Banks sometimes obtain a term deposit at the time of allotment, which would cover three years' rent and charges for breaking open the locker in case the rent is not paid by the locker-hirer.According to the SBI website, "The bank shall not insist on term deposits from the existing locker hirers or those who have satisfactory operative accounts. A satisfactory operative account shall be established as per the following criteria:a) Account should be KYC-compliant.b) Customer should be maintaining savings bank/current account for the last 3 years.c) Account should not have been inoperative for the last one year.d) Customer should be maintaining average account balance which would cover two years' rent for the last one year.Above term deposit is also not required from salary package, HNI and wealth and VIP customers.Branches are responsible for preventing incidents such as fire, theft, burglary, robbery, dacoity, or building collapse on the bank's premises if these occur due to their own shortcomings, negligence, or any act of omission or commission. If the loss of locker contents is caused by any of these incidents or by fraud committed by bank employees, the bank will be liable to compensate an amount equal to 100 times the prevailing annual rent of the safe deposit locker, as per information available on the SBI website.
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