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Bank Money Withdrawal Stop: The Reserve Bank of India (RBI) has imposed several restrictions including withdrawal of money from a co-operative bank, due to which customers associated with this bank will not be able to withdraw money for the next 6 months. Apart from this, the bank has also been refused permission to give loan or other money. Due to this step of RBI, thousands of depositors of cooperative banks are upset because they are not able to withdraw their deposits from the bank.
The central bank has imposed this restriction on Shirpur Merchants Co-operative Bank of Maharashtra. According to the ET report, this is not the first time that RBI has issued such instructions on a bank. Earlier, RBI had imposed similar restrictions on withdrawals in PMC Bank and Yes Bank also. RBI has imposed this restriction in view of the financial condition of the bank.
What should customers do if a bank fails?
What rights do customers have when a bank fails or is taken over? What should Shirpur Merchants Co-operative Bank customers do now? let us know. However, before that let us know what RBI said. According to the central bank, the bank will not give or renew any loan or advance without the approval of RBI. Also no one will invest.
What rights do customers have?
If a bank fails, as per the Deposit Insurance and Credit Guarantee Corporation (DICGC) Act, every depositor of a bank has a deposit insurance cover of up to Rs 5 lakh, which covers the principal and interest in their accounts in that particular bank. Covers. Amount included. The insurance cover amount is applicable on all deposits made in any account.
When will you get the money back?
Under deposit insurance, an amount up to Rs 5 lakh is released to customers within 90 days. RBI said that customers of Shirpur Merchants Co-operative Bank can visit the official website of the bank for more information.