Bank lockers is one of the safest options to store precious items and documents such as jewellery, confidential documents. With lots of people opting for it, one should be aware of the safety issues related to bank lockers, their costing/fee for the services, and the need to avail the bank locker facility.
Find out the terms and conditions associated with availing the bank locker facility and other important details which makes bank lockers worth investment for safeguarding your valuables:-
All About Bank Locker - Introduction
Bank lockers are one of the best options to safeguard your valuables, including jewellery, cash, and important documents. As they are limited in number in the banks, therefore they are allotted on a first come and first serve basis. If the bank is unable to provide the locker facility, they come up with a waiting list number.
How to Operate Bank Locker?
Each locker has two sets of keys, one is provided to the customer, the other key remains with the bank. A locker can be unlocked only if both the keys are used. However, customers are advised to read the guidelines on lockers thoroughly.
How to Open a Bank Locker?
To avail bank locker facility, the customer needs to fill out a form and provide necessary details (personal information, and bank details). In addition, the bank gets ‘Memorandum of Letting’ signed by the customer and makes it mandatory to sign the terms and conditions before handing over the bank locker facility. Customers also need to submit the know-your-customer (KYC) documents along with photographs to open a locker.
Bank Locker Charges/Fee
The fee to avail the bank locker facility varies from bank to bank. There is no fixed amount specified by the RBI to avail locker services. However, RBI says banks cannot deny the locker facility to those who are not existing customers of the bank.
In some cases, a customer is charged caution deposit of up to three years of a locker’s rent, along with the relevant service charge. Those customers who do not have an account with the bank, they can be asked to open a Fixed Deposit of certain amount to avail the services.
If a customer does not visit the bank locker for a period of one year, in some cases, bank can cancel the locker facility of the customer as well. Apart from this, there are rules on the number of visits a customer can make to the bank locker. For an instance, SBI allows 12 free visits a year and charges Rs 51 for extra visits. Beneficiaries are advised to check the no. Of visits clause with the respective bank.
RBI has mentioned that if the contents and items kept in the locker are stolen, due to theft or burglary, the bank is in no way to be held liable/responsible for the same. On the contrary, RBI also advises the banks to put in place best-in-class security arrangements to safeguard customers’ interests.
Is Nominee or Joint Holding Allowed?
Yes! Banks allow customers to have a nominee and they can also operate the locker facility as joint holders (such as husband and wife) or in the ‘either or survivor’ mode.
In case the customer has a nominee, the bank will release the contents of the locker to the nominee only after the unfortunate death of the locker beneficiary.
*Disclaimer - The information provided above is only for information purposes to spread financial knowledge and enhance literacy among our readers. It shouldn’t be taken as financial advice by anyone.