RBI`s BIG Action Against Bank Of Baroda, Bars It From Onboarding New Customers Using This App

Reserve Bank of India on Tuesday debarred public lender Bank of Baroda to onboard new customers via `bob World` mobile application.

New Delhi: Bank of Baroda has been debarred from onboarding their customers through ‘bob World mobile application with the immediate effect. In a circular on Tuesday, RBI stated ‘Bank of Baroda to suspend, with immediate effect, any further onboarding of their customers onto the ‘bob World’ mobile application” under the section 35A of the Banking Regulation Act, 1949.

RBI clarified that the bank has been further directed to ensure that already onboarded ‘bob’ World’ customers don’t face any disruption on account of this suspension.

RBI said that the action is taken on certain material supervisory concerns observed in the manner of onboarding of their customers onto this mobile application.

“Any further onboarding of customers of the bank on the ‘bob World’ application will be subject to rectification of the deficiencies observed and strengthening of the related processes by the bank to the satisfaction of RBI,” said the RBI.