Banking and monetary regulator Reserve Bank of India has instructed that banks should reimburse all wrong ATM transactions occured to the respective customers within 7 days of the complaint being filed by the customer.

RBI has said in case of inability of the bank to make the reimbursement in the stipulated time period, it should make a compensation of Rs 100 per day to the customer.

"The time limit for resolution of customer complaints by the issuing banks shall stand reduced from 12 working days to seven working days from the date of receipt of customer complaint," read a notification by the apex bank.

Previously the time period set for reimbursement of wrong ATM transactions was 12 days.

The central bank has also said that a customer will only be entitled to this benefit if he makes the complaint with his respective bank within 30 days of the transaction made else not.

No bilateral settlement arrangement outside the dispute resolution mechanism available with the system provided is possible," RBI said.