Monday, March 13, 2017

No Limits on Cash Withdrawal from Savings Accounts from Today

No Limits on Cash Withdrawal from Savings Accounts from Today

"Effective March 13, 2017, there will be no limits on cash withdrawals from Savings Bank accounts - RBI"

Keeping up with the pace of re-monetisation, Reserve Bank of India has lifted all the limitations that were placed on cash withdrawals that were placed since November 8th last year.

This means the state of pre-demonetisation in the banks is restored.

Removal of limits on withdrawal of cash from Saving Bank Accounts

In the wake of withdrawal of Specified Bank Notes (SBNs) since November 09, 2016 Reserve Bank had placed certain limits on cash withdrawals from Savings / Current / Cash credit /Overdraft accounts and withdrawals through ATMs. On a review of the pace of remonetisation, Reserve Bank partially restored status quo ante by removing the restrictions on cash withdrawals from Current / Cash credit / Overdraft accounts and ATMs effective January 31, 2017 and February 01, 2017 respectively. However, the limits on cash withdrawal from Savings Bank accounts continued to be in place.

In line with the pace of remonetisation, it has now been decided to remove the restrictions on cash withdrawals from Saving Bank accounts (including accounts opened under PMJDY) in a two step process as under:

Effective February 20, 2017, the limits on cash withdrawals from the Savings Bank accounts will be enhanced to Rs.50,000 per week (from the current limit of  Rs.24,000 per week); and Effective March 13, 2017, there will be no limits on cash withdrawals from Savings Bank accounts.

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