Bank Locker Jewellery Lost: RBI Compensation Rule in Simple Words

Anita kept her mother's bangles in a bank locker. She visited the branch after many months. The locker room looked normal. But when she opened the locker, one packet was missing.

The first bank staff member said, “Madam, the bank does not know what you kept inside. We cannot pay.”

That answer is only half true.

RBI does say the bank does not keep a record of your locker contents. But RBI also says banks have a duty to keep locker rooms safe. If the loss happened because of a bank-side event like theft, burglary, fire, building collapse, or employee fraud, the bank cannot simply walk away.

A bank locker is a small safe box inside the bank's vault room. The customer pays rent. The customer keeps the key or access method. The bank does not normally know what is inside.

Use a locker for papers, jewellery and items that need safe storage. Do not treat it as insurance. A locker is storage. Insurance is a separate product.

You find locker contents missing
        |
        v
Do not leave the branch without written proof
        |
        v
Ask for branch incident note + CCTV preservation + locker access log
        |
        v
Was there theft, burglary, fire, collapse or employee fraud?
        |
   yes  |  no / unclear
        |----------------------------.
        v                            v
Claim RBI 100 times rent cap       Ask for logs, inventory, CCTV
        |                            |
        v                            v
Complain to bank nodal officer     File bank complaint anyway
        |                            |
        v                            v
No reply in 30 days?               If loss is serious, police complaint
        |
        v
File RBI Ombudsman complaint at cms.rbi.org.in

Do these steps before arguments start.

1. Stay calm and take one clear photo of the outside of the locker area if branch rules allow it.
2. Ask the branch manager to record your complaint in writing.
3. Write the date, time, locker number, branch name and staff names.
4. Ask the bank to preserve CCTV for the locker room entrance and branch entry.
5. Ask for the locker operation log for your locker.
6. Do not sign a “no claim” letter or any blank paper.
7. If theft is suspected, ask the bank to call police or file your own police complaint.

Use this simple wording.

Subject: Complaint for missing contents from safe deposit locker

I operate locker number [number] at [branch].
On [date] at [time], I opened the locker and found that [describe item] was missing / damaged.

Please register this as a locker safety complaint.
Please preserve CCTV footage, locker operation logs, key access records, vault entry logs and staff duty records for the period [date range].

Please also share the bank's locker compensation policy and the model locker agreement applicable to my locker.

If the loss is due to theft, burglary, robbery, dacoity, fire, building collapse or employee fraud, please process compensation as per RBI's safe deposit locker instructions.

Name:
Mobile:
Email:
Locker number:
Account number:

An expert reading of the RBI rule is simple:

• Do not argue only about the price of gold first.
• First prove the bank-side event or bank-side negligence.
• The RBI cap is a liability cap, not a gold valuation scheme.
• Your strongest proof is the access log, CCTV preservation request, written complaint, old photos or bills of jewellery, and police diary.
• If the bank says “we are not liable at all”, ask them to quote the exact locker agreement clause and RBI paragraph.

• Keep a private inventory at home. Write item, weight, photo, bill number and date kept in locker.
• Record each locker visit in a small notebook: date, time, what you added, what you removed.
• Never keep the only copy of a property paper in one place. Keep a scanned copy and a notarised copy where possible.
• Do not keep cash in a locker unless the bank agreement allows it.
• Read the locker rent receipt. The “annual rent” matters because RBI compensation is linked to it.
• If the bank moved or merged the branch, ask for the shifting record and inventory procedure.

The bank may refuse full compensation if:

• There is no proof that the missing item was ever in the locker.
• The loss is due only to your own negligence.
• The damage is due to natural calamity and no bank negligence is shown.
• The locker was lawfully broken open after long inactivity and proper notice.
• You signed a settlement without reading it.

That does not mean you should give up. It means the complaint must ask for records, not only money.

1. Complaint to branch manager on the same day.
2. Complaint to bank nodal officer or principal nodal officer.
3. Wait up to 30 days, unless there is urgent fraud or theft.
4. File at RBI CMS if the bank rejects the complaint or does not reply.
5. For theft or employee fraud, file a police complaint also. RBI complaint is not a criminal case.

• Bank locker rules 2026
• Bank locker access and nomination dispute
• Banking command desk
• RBI complaint against a bank
• RBI Ombudsman walkthrough

Real photo: Four Corners Bank Vault by Mbrickn, Wikimedia Commons, CC BY-SA 4.0. Resized for web.

• RBI revised instructions on safe deposit locker and safe custody article facility
• RBI CMS complaint portal

Last reviewed: 2 July 2026.

When bank locker jewellery is lost or stolen, here is the complete guide to claiming RBI-mandated compensation:

1. Step 1: What are the RBI rules? (a) the RBI (Reserve Bank of India) issued revised locker rules in 2023 (RBI Master Circular on Safe Deposit Lockers — August 2023): (i) the bank is responsible for loss of locker contents due to the bank's negligence (fire, theft, burglary, robbery, dacoity — or the bank's failure to exercise due care), (ii) the bank must pay compensation up to 100 times the annual locker rent (if the loss is due to the bank's negligence — fire, theft, robbery — this is the minimum compensation — the actual compensation can be higher — based on the value of the contents), (iii) the bank is NOT responsible if the loss is due to the customer's own negligence (e.g., the customer did not lock the locker properly — or shared the key), (b) the rules apply to all scheduled commercial banks (including SBI, private banks, cooperative banks — and RRBs), © the compensation is in addition to the insurance (the bank must have insurance for lockers — and the insurance proceeds go to the customer — and the bank pays the balance).
2. Step 2: Common scenarios. (a) theft from locker (the locker is broken into — and the jewellery/valuables are stolen — the bank is liable if the theft is due to inadequate security), (b) fire/flood damage (the locker contents are damaged due to fire or flood — the bank is liable if the damage is due to the bank's failure to maintain the vault), © locker opened by someone else (the locker is opened by another person — due to the bank's error — or duplicate keys — the bank is liable), (d) locker contents missing (the customer opens the locker — and the contents are missing — without any break-in — the bank is liable if the bank's staff is involved), (e) bank staff fraud (the bank staff opens the locker — and takes the jewellery — the bank is liable — and must also file a police complaint).
3. Step 3: How to claim compensation. (a) report immediately (to the bank manager — in writing — with the locker number, the description of the lost items, and the approximate value — and get a receiving/acknowledgement), (b) file a police complaint (at the local police station — for theft/burglary — and get the FIR copy), © demand compensation (from the bank — in writing — citing the RBI rules — up to 100 times the annual rent — and the actual value of the contents), (d) the bank must respond within 30 days (with the compensation offer — or the rejection — with reasons), (e) if the bank does not respond or rejects: file a complaint with the Banking Ombudsman (under the RBI Integrated Ombudsman Scheme, 2021).
4. Step 4: Banking Ombudsman complaint. (a) file a complaint on the RBI CMS portal (cms.rbi.org.in — online — with the locker number, the police FIR, the bank's response (if any), and the claim amount), (b) the Ombudsman can: (i) direct the bank to pay compensation (up to 100 times the annual rent — or the actual value — whichever is higher — plus interest at 8% per annum), (ii) award additional compensation (up to Rs 1 lakh — for mental harassment and harassment), (iii) direct the bank to improve security (in the vault — and install CCTV), © the Ombudsman's decision is binding on the bank (but the customer can appeal — to the Appellate Authority — within 30 days — or approach the court).
5. Step 5: File RTI. File RTI with the bank (if it is a public sector bank — SBI, Punjab National Bank, etc. — or with RBI) asking for: (a) the security arrangements in the vault of [branch name] (the CCTV coverage, the access control, the log of who accessed the vault — on [date]), (b) the insurance details of the lockers (the insurance policy — the coverage amount — and the insurance company), © the number of locker theft/loss complaints (in [branch name] — from [date] to [date] — and the action taken — and the compensation paid), (d) whether the bank has complied with the RBI Master Circular on Safe Deposit Lockers (the compliance status — and the audit report), (e) the bank's policy on locker loss compensation (the policy document — and the compensation formula).
6. Step 6: Consumer complaint. (a) file a complaint with the Consumer Disputes Redressal Commission (the loss of locker contents is a deficiency of service — and the bank's failure to pay compensation is an unfair trade practice), (b) the Commission can order: (i) compensation (the value of the lost items — as per the customer's claim — supported by bills/valuations), (ii) additional compensation for harassment (Rs 10,000-50,000), (iii) costs (Rs 5,000-10,000), © Example: Jewellery worth Rs 5 lakh lost from locker — annual rent Rs 3,000 — 100 times = Rs 3 lakh (minimum) — but actual value Rs 5 lakh — Commission ordered Rs 5 lakh + Rs 25,000 harassment + Rs 10,000 costs = Rs 5,35,000.
7. Step 7: Practical tips. (a) keep an inventory (of the locker contents — with photos, bills, and valuations — update annually — keep a copy at home — not in the locker), (b) insure separately (the bank's insurance may not cover the full value — consider a separate jewellery insurance — from a general insurance company), © visit regularly (open the locker at least once every few months — to check the contents — and to ensure the locker is functioning), (d) do not share the key (do not share the locker key with anyone — not even the bank staff — the bank does not keep a duplicate key — only the customer has the key), (e) check the locker operation log (the bank maintains a log of who accesses the vault — ask for the log — through RTI — if you suspect unauthorized access), (f) Example: A customer's locker was broken into — jewellery worth Rs 8 lakh stolen — the customer reported immediately — filed FIR — demanded compensation — the bank offered Rs 2 lakh (100 times the rent of Rs 2,000) — the customer filed with the Ombudsman — got Rs 8 lakh (actual value) + Rs 50,000 harassment.

See Bank Locker Compensation and Find PIO.