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Losing a bank locker key can be stressful, especially when important documents, jewellery or valuables are involved. Many customers are unsure whether banks keep duplicate keys, how lockers are opened if a key is lost, and who bears the cost.
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While the process is governed by RBI rules, many locker holders remain unclear about what banks can insist on and where customers have legal protection. Here’s what banks, lawyers and consumer experts have to say.
Does the bank keep a duplicate or master key for lockers or is the customer’s key the only one?
There are 2 different keys for one locker. The main key lies with the customer and that does not have a duplicate. The second key stays with the bank. You will always need both the keys in sequence to open the locker, a Bandhan Bank spokesperson said.
If no spare key exists, how is the locker opened and what safeguards are followed during the process?
In absence of replacement keys, the only option left to open the locker is to break it. “In the absence of a spare key, the locker is opened (broken) only by the branch or an authorized technician, after due verification of the locker hirer’s identity, proper recording of the loss, and receipt of written authorisation from the customer for breaking open the locker,” said Biji S S, SGM & Head – Branch Banking, South Indian Bank .
The process is carried out strictly in the presence of the customer(s) and an authorized branch official. “Adequate safeguards are ensured to prevent any impact on adjoining lockers, and the contents of the locker are not exposed to any individual other than the locker hirer during the breaking open or subsequent restoration of the locker,” Biji added.
What should you as a locker holder do immediately after realising your locker key is lost?
If you lose your bank locker key, the first step is to inform your bank promptly in writing. “Banks treat a lost key as a security issue, and early reporting helps prevent risk of unauthorised access. In some cases, the bank may also ask you to file an FIR for the lost key and submit a copy as part of its internal process,” says Adhil Shetty, CEO, BankBazaar.
Shetty adds that you may be required to sign an undertaking stating that the key will be handed over if it is found later. “Once the loss is formally recorded and your identity is verified, the bank will arrange to (break) open the locker without the original key. This is done by the bank or an authorised technician, only after written authorisation from you and in your presence, along with a bank official, to ensure the safety of throughout the process.”
What are the charges and documents required before opening a locker after a key is lost?
To proceed after reporting a lost locker key, you will need to submit a written request to the branch and present valid identity proof such as Aadhaar or PAN. If the locker is jointly held, all holders may need to sign the request or be present, says Shetty.
He adds that the charges can vary by bank and locker size and will be communicated to locker holders before the process of breaking open the locker begins. “Banks will then recover the costs of breaking open the locker, changing the lock, and issuing a new key from you, as the key loss is considered your responsibility.”
What are the RBI’s rules about customer rights when a locker key is lost?
All costs of the process of breaking open a locker after you have informed the bank and submitted an undertaking including breaking charges, lock replacement, and issuance of a new key are borne entirely by the customer. The bank does not absorb any of these expenses, says Alay Razvi, Managing Partner, Accord Juris.
The process usually requires completion of formalities such as:
- written intimation,
- identity verification, and
- a police complaint or loss declaration.
“Once these steps are completed and charges are paid, the bank must proceed with breaking open the locker and restoring access. There is no discretion to indefinitely delay the process,” Rizvi adds.
From a legal standpoint, who bears liability if the locker has to be broken open due to a lost key?
From a legal standpoint, the primary financial responsibility for breaking open the locker due to a lost key rests with the customer, since the triggering event arises from the customer’s own default. However, this allocation of cost does not absolve the bank of its overarching duty of care.
Tushar Kumar, Advocate, Supreme Court of India says, “The bank remains legally bound to ensure that the break-open operation is conducted in the customer’s presence, through authorised personnel, with due safeguards to protect the contents of the locker and the confidentiality and security of adjoining lockers.”
If any loss, damage or unauthorised exposure occurs as a result of negligence, omission or procedural lapse on the part of the bank or its agents, the bank may be exposed to liability under general principles of contract and tort, in addition to the RBI’s compensation framework, which prescribes liability up to one hundred times the annual locker rent where loss is attributable to the bank’s fault, says Kumar.
Can a bank legally delay or refuse locker access even after the customer completes all formalities?
As regards access, a bank cannot lawfully refuse or indefinitely delay locker operation once the customer has complied with all mandated formalities, including identity verification, execution of requisite authorisations and payment of duly disclosed charges.
“While banks are entitled to impose reasonable, process-driven controls grounded in security, record-keeping and vault management protocols, any blanket denial or open-ended postponement would be inconsistent with the RBI’s insistence on fair treatment, transparency and accountable locker operations,” says Kumar.
In essence, regulatory compliance allows banks to regulate the manner of access, but not to frustrate the right of access once the customer has fulfilled all legal and procedural requirements.
Alay Rizvi says the only situations in which access can be lawfully denied are:
- failure to sign the revised locker agreement mandated under RBI rules,
- non-payment of locker rent or charges, or
- existence of a court order or legal restraint.
If the customer has complied with all formalities, continued denial or delay amounts to deficiency of service and can be challenged before the Banking Ombudsman, consumer court, or writ court.
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