The 2024 banking laws (amendment) act of India: a customer welfare perspective

This paper examines the Banking Laws (Amendment) Act, 2024, a significant legislative reform aimed at modernising India’s banking sector. While the Act introduces important structural and regulatory changes, this paper argues that it largely overlooks the everyday concerns and welfare of ordinary banking customers. Drawing on a doctrinal methodology, the study evaluates the Act’s provisions in light of earlier committee recommendations, existing regulatory frameworks, and comparative international practices. The analysis focuses on issues such as service charges, KYC compliance burdens, credit scoring systems, grievance redress mechanisms, and cyber vulnerabilities. The paper concludes that, despite its emphasis on operational efficiency and governance, the Act fails to institutionalise customer welfare as a central concern, leaving key gaps in India’s consumer protection framework in the banking sector.