Rs 10,000: Enhanced withdrawal limit allowed by RBI to customers of PMC Bank.
- When the Reserve Bank of India had initially barred Punjab and Maharshtra Co-operative (PMC) Bank from carrying out routine banking activities, it had imposed a limit of Rs 1,000 on withdrawals from the bank.
- This paltry sum was all that depositors could withdraw for six months. Many, including senior citizens, who depended on regular withdrawals to meet their household and business-related needs, were left in the lurch.
- Later, the RBI hiked the amount depositors could withdraw for six months to Rs 10,000. It said this would allow 60 per cent of depositors to withdraw the entire sum they had parked with the bank.
- While this step will definitely provide relief to the majority of customers, for many others, even this enhanced sum will not suffice.
- This incident has once again highlighted the need to avoid weaker banks, like some co-operative banks.
- Maintain your deposits with two or three banks. Even if you opt for a co-operative bank for the higher interest rate it pays on fixed deposits, put only a small portion of your corpus there.
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