Latest news with #SwaminathanJ
Time of India
18 hours ago
- Business
- Time of India
Lack of empathy leading to rise in complaints: RBI
RBI Deputy Governor Swaminathan J MUMBAI: RBI deputy governor Swaminathan J has asked new age bankers to guard against new vulnerabilities of cyber threats, phishing, synthetic identities, deepfakes, and third-party risks. Addressing graduating students at the National Institute of Bank Management (NIBM) in Pune last week, Swaminathan said they must balance the speed and scale offered by technology with a strong sense of vigilance and personal responsibility. "Banking today is more complex than ever," he said, pointing to the rise in real-time and frictionless transactions. "As transactions become real-time and frictionless, the time it takes for damage to occur-and spread-has drastically shortened. " He said that while digital tools enable efficiency, they have also made banks more vulnerable to new risks. "Vigilance is no longer optional; it is an essential and core professional skill." Drawing on the Titanic as an analogy, he cautioned that institutions fail not always due to a lack of systems, but due to a lack of foresight. "It is not always the biggest or most advanced systems that succeed. It is the ones that stay alert, that course-correct early, and that respect the value of foresight." by Taboola by Taboola Sponsored Links Sponsored Links Promoted Links Promoted Links You May Like Paras Sector 59 Gurgaon | Paras Floret Low-Rise Flats Paras The Florett Book Now Undo He urged young bankers to think like lookouts on a ship. "You must be that lookout-always asking: 'What is on the horizon? What could go wrong? What needs attention before it's too late?' In a rapidly evolving environment, those who notice the iceberg early-not the ones explaining the damage afterward-will make the real difference." While digital transformation is critical, Swaminathan warned that technology alone cannot build trust. "We see increasing automation but decreasing ownership. Systems respond with templated emails; helplines loop back endlessly. This is not how trust is built, and certainly not how it can be sustained." He shared that customer complaints, particularly through digital channels, have increased significantly, often not due to product failures but due to a lack of empathy. "A senior citizen struggling with an ATM pin... a borrower in a rural area unsure how to repay digitally... a small business owner worried about a UPI refund... they are not just service requests. They are moments of trust." Swaminathan drew a lesson on the importance of conventions and professional judgment from the practice of crossing cheques with "account payee." He pointed out that this practice, though not mandated by any specific statute, has become a time-honoured convention that enhances the safety of transactions and limits misuse. "There is no specific statute mandating it-but it is a time-honoured convention that enhances safety and limits misuse," he said. These kinds of practices, he explained, are examples of how much of banking rests not just on laws and regulations but on professional norms developed over time. Stay informed with the latest business news, updates on bank holidays and public holidays . AI Masterclass for Students. Upskill Young Ones Today!– Join Now
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Business Standard
a day ago
- Business
- Business Standard
Lack of empathy driving customer complaints, says RBI DG Swaminathan
Reserve Bank of India (RBI) Deputy Governor Swaminathan J has attributed the rising number of banking complaints, especially in the digital domain, to lack of empathy and a mechanical approach to customer service by the staff while suggesting that bankers should blend professionalism with compassion. 'We see increasing automation, but decreasing ownership,' Swaminathan said, adding that systems respond with templated emails and helplines loop back endlessly. 'This is not how trust is built, and certainly not how it can be sustained,' he added. While delivering a keynote address at the National Institute of Bank Management (NIBM) in Pune on July 12, Swaminathan said that the customer is not just 'king', but the cornerstone of trust in banking. The speech was uploaded on the RBI website on Tuesday. Flagging the surge in grievances, Swaminathan said that it was not merely due to flawed products or services but stemmed largely from an impersonal and mechanical approach to customer service. Swaminathan underscored that success in banking demands both the capacity to respond quickly to challenges and the resilience to sustain long-term responsibilities. 'It's not enough to be fast, you must be agile and able to endure,' he said. 'Agility helps you dodge what's in front of you. Endurance helps you stay the course. You will need both,' he added. He highlighted that banking is not just about managing money, but about managing trust. 'Your decisions will impact individuals, families, businesses, and communities. You will play a role in financial inclusion, digital adoption, credit growth, and economic stability. That is no small responsibility,' he said. He also highlighted that the future of Indian banking will be shaped not just by policies and systems, but by adaptability, foresight, resilience, and empathy. 'What will truly shape you as a banker is your ability to blend knowledge with judgment, law with convention, and theory with practice,' he said. Citing the Titanic as a cautionary example, he said that the failure was not in missing the iceberg, but in spotting it too late. He suggested cultivating situational awareness amid threats like cyberattacks, phishing, and deep fakes. 'In banking, as in life, it is not always the biggest or most advanced systems that succeeds, but the ones that stay alert and course-correct early,' he said.
Time of India
a day ago
- Business
- Time of India
Customer complaints rising fast, bankers lacking empathy: RBI DG Swaminathan J
Mumbai: Reserve Bank Deputy Governor Swaminathan J has rued a "lack of empathy" among bankers, even in the face of rising number of customer complaints around serious aspects like fraud. Speaking at an event of RBI-promoted NIBM (National Institute of Bank Management) on July 12, Swaminathan said there is "increasing automation but decreasing ownership", and customers have to contend with template emails and helplines loop back "endlessly". He made it clear that addressing these issues will be essential if bankers were to sustain people's trust in the system. The Reserve Bank's website published the speech on Tuesday. "The number of customer complaints -- especially through digital channels -- has risen significantly in recent years. From social engineering frauds to poor grievance redressal, the loss and frustration is real. Often, the problem is not the product or service, but, as I see it, the real issue is a lack of empathy," the commercial banker-turned-regulator said in his valedictory address to the students. Live Events Nowadays, KYC (know your customer) is often reduced to a "periodic ritual", he said, exhorting bankers to find a way to bring back that personal awareness and responsibility even in a digital context. Enlisting instances like senior citizen's struggles with ATM PIN, a rural area borrower's challenges to repay a loan online or the worries of a small business owner over UPI payments, Swaminathan said these are not mere service requests, but opportunities to earn trust by giving time and patience, and showing professionalism. "Technology will enable the transaction. But only you can build the relationship and only you can earn the customer's trust for your institution," he said, stressing that this is what will distinguish a banker from an app. The DG said a banker has to act quickly, endure uncertainty, recover from setbacks, and stay focused over the long run. "You will face moments of rapid change -- crises, deadlines, audits, policy shifts -- but you will also need the discipline and stamina to navigate slow, complex processes that unfold over months or years," he told the students beginning a two-year post graduation course in banking. Empathy, curiosity, and integrity will define success for the students over a long term, he said. "What will truly shape you as a banker is your ability to blend knowledge with judgment, law with convention, and theory with practice," he said. Things will not go as planned, but the ability to embrace the unfamiliar and turn unexpected situations into learning experiences will set a student apart, he said, asking them to stay alert and course-correct early. Banking today is more complex than ever, he said, adding that there are also new vulnerabilities like cyber threats, phishing, synthetic identities, deepfakes, and third-party risks.
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Business Standard
a day ago
- Business
- Business Standard
Customer complaints rising fast, bankers lacking empathy, says RBI DG
Reserve Bank Deputy Governor Swaminathan J has rued a "lack of empathy" among bankers, even in the face of rising number of customer complaints around serious aspects like fraud. Speaking at an event of RBI-promoted NIBM (National Institute of Bank Management) on July 12, Swaminathan said there is "increasing automation but decreasing ownership", and customers have to contend with template emails and helplines loop back "endlessly". He made it clear that addressing these issues will be essential if bankers were to sustain people's trust in the system. The Reserve Bank's website published the speech on Tuesday. "The number of customer complaints -- especially through digital channels -- has risen significantly in recent years. From social engineering frauds to poor grievance redressal, the loss and frustration is real. Often, the problem is not the product or service, but, as I see it, the real issue is a lack of empathy," the commercial banker-turned-regulator said in his valedictory address to the students. Nowadays, KYC (know your customer) is often reduced to a "periodic ritual", he said, exhorting bankers to find a way to bring back that personal awareness and responsibility even in a digital context. Enlisting instances like senior citizen's struggles with ATM PIN, a rural area borrower's challenges to repay a loan online or the worries of a small business owner over UPI payments, Swaminathan said these are not mere service requests, but opportunities to earn trust by giving time and patience, and showing professionalism. "Technology will enable the transaction. But only you can build the relationship and only you can earn the customer's trust for your institution," he said, stressing that this is what will distinguish a banker from an app. The DG said a banker has to act quickly, endure uncertainty, recover from setbacks, and stay focused over the long run. "You will face moments of rapid change -- crises, deadlines, audits, policy shifts -- but you will also need the discipline and stamina to navigate slow, complex processes that unfold over months or years," he told the students beginning a two-year post graduation course in banking. Empathy, curiosity, and integrity will define success for the students over a long term, he said. "What will truly shape you as a banker is your ability to blend knowledge with judgment, law with convention, and theory with practice," he said. Things will not go as planned, but the ability to embrace the unfamiliar and turn unexpected situations into learning experiences will set a student apart, he said, asking them to stay alert and course-correct early. Banking today is more complex than ever, he said, adding that there are also new vulnerabilities like cyber threats, phishing, synthetic identities, deepfakes, and third-party risks. (Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)
News18
a day ago
- Business
- News18
Customer complaints rising fast, bankers lacking empathy: RBI DG
Mumbai, Jul 22 (PTI) Reserve Bank Deputy Governor Swaminathan J has rued a 'lack of empathy" among bankers, even in the face of rising number of customer complaints around serious aspects like fraud. Speaking at an event of RBI-promoted NIBM (National Institute of Bank Management) on July 12, Swaminathan said there is 'increasing automation but decreasing ownership", and customers have to contend with template emails and helplines loop back 'endlessly". He made it clear that addressing these issues will be essential if bankers were to sustain people's trust in the system. The Reserve Bank's website published the speech on Tuesday. 'The number of customer complaints — especially through digital channels — has risen significantly in recent years. From social engineering frauds to poor grievance redressal, the loss and frustration is real. Often, the problem is not the product or service, but, as I see it, the real issue is a lack of empathy," the commercial banker-turned-regulator said in his valedictory address to the students. Nowadays, KYC (know your customer) is often reduced to a 'periodic ritual", he said, exhorting bankers to find a way to bring back that personal awareness and responsibility even in a digital context. Enlisting instances like senior citizen's struggles with ATM PIN, a rural area borrower's challenges to repay a loan online or the worries of a small business owner over UPI payments, Swaminathan said these are not mere service requests, but opportunities to earn trust by giving time and patience, and showing professionalism. 'Technology will enable the transaction. But only you can build the relationship and only you can earn the customer's trust for your institution," he said, stressing that this is what will distinguish a banker from an app. The DG said a banker has to act quickly, endure uncertainty, recover from setbacks, and stay focused over the long run. 'You will face moments of rapid change — crises, deadlines, audits, policy shifts — but you will also need the discipline and stamina to navigate slow, complex processes that unfold over months or years," he told the students beginning a two-year post graduation course in banking. Empathy, curiosity, and integrity will define success for the students over a long term, he said. 'What will truly shape you as a banker is your ability to blend knowledge with judgment, law with convention, and theory with practice," he said. Things will not go as planned, but the ability to embrace the unfamiliar and turn unexpected situations into learning experiences will set a student apart, he said, asking them to stay alert and course-correct early. Banking today is more complex than ever, he said, adding that there are also new vulnerabilities like cyber threats, phishing, synthetic identities, deepfakes, and third-party risks. PTI AA HVA view comments First Published: July 22, 2025, 16:30 IST Disclaimer: Comments reflect users' views, not News18's. Please keep discussions respectful and constructive. Abusive, defamatory, or illegal comments will be removed. News18 may disable any comment at its discretion. By posting, you agree to our Terms of Use and Privacy Policy.
