BoB World App Now Open for Customers After RBI Lifts Restrictions

After almost 6 months of implying a ban on Bank of Baroda’s ‘BoB World’ App, RBI has lifted the ban on allowing new customer onboarding with immediate effect.

The bank said in a filing to BSE, “The RBI, vide its letter dated 8th May 2024, conveyed to the bank its decision to lift the above-mentioned restrictions on Bob World with immediate effect, as such the bank is free to onboard customers through Bob World application in accordance with the applicable guidelines and extant laws/regulations.”

Back in October 2023, the Reserve Bank of India under section 35A of the Banking Regulation Act, 1949, directed the Bank of Baroda to suspend, with immediate effect, any further onboarding of their customers onto the ‘BoB World’ mobile application. This action is based on certain material supervisory concerns observed in the manner of onboarding their customers onto this mobile application.

“The Bank remains committed to ensuring adherence and compliance with regulatory guidelines,” said Bank of Baroda. RBI’s reprieve has come after the bank took several corrective measures, including the removal of its chief digital officer.

Bottom Line

Bank of Baroda is a multinational public sector bank that the government of India owns. The Bank of Baroda offers the BoB Internet banking application for both retail and corporate customers. The ‘BoB World’ app is a primary section for a large section of customers, facilitating account openings through video KYC. BoB is the second-largest PSU bank and third-largest state-owned bank in terms of mobile banking active customers. RBI had directed BoB not to add customers to its ‘BoB World’ app after complaints surfaced that some of the bank employees were using mobile numbers of strangers to onboard customers for mobile banking to meet enrolment targets. The good news for Bank of Baroda is that the RBI has lifted restrictions on its Bob World mobile app, allowing them to onboard customers digitally.