RBI has relaxed the withdrawal limit in the City Co-operative Bank which was placed under directions dated April 17, 2018 from close of business April 17, 2018.
The validity of the directions was extended from time to time vide subsequent Directives, the last being the one that extended it till April 17, 2020, subject to review.
Earlier, a sum not exceeding Rs 5,000/- of the total balance was allowed to be withdrawn by a depositor. Now the RBI has allowed a sum not exceeding Rs 10,000/- (Rupees Ten Thousand only) of total balance in every savings bank account or current account or term deposit account or any other deposit account (by whatever name called); may be allowed to be withdrawn by depositor, provided that wherever such depositor is having liability to the bank in any manner, i.e. either as a borrower or surety, including loans against the bank deposits, the amount may be adjusted first to the relevant borrowal account/s.
Other terms and conditions of the Directive shall remain unchanged. A copy of the directive dated March 03, 2020 notifying the above modifications is displayed at the bank’s premises for the perusal of public.
The aforesaid modification by the Reserve Bank of India should not per-se be construed to imply that Reserve Bank of India is satisfied of substantive improvement in the financial position of the bank.
