question_answer

As published in the newspapers, the RBI has issued certain guidelines to be followed by the Recovery Agents appointed by the banks. In addition to this, the Indian Bank Association (IBA) has to formulate a special training course for them. Why do RBI and IBA have to come into picture for such an issue which is the responsibility of the banks?                      [OBC 2008]

(1) RBI and Govt were getting many complaints from the public about the misbehaviour of Recovery Agents.

(2) Govt of India is paying much emphasis on providing banking service to the poor section of the society. News about ill - treatment by agents or suicides due to inability to pay back loans create a negative picture. RBI does not want this to happen.

(3) Despite banks' efforts to recover loans' many people still do not wish to repay their loans, intentionally.

 Recovery agents will help banks to get their money back by all possible means.

A)  Only (1)                     

B)  Only (2)

C)  Both (1) & (2)

D)  Only (3)

E)  All (1), (2) & (3)