With the Saraswat Bank making a name for the UCB fraternity in the latest Forbes Survey, there are several beleaguered urban co-op banks for which the RBI has enhanced the limit of withdrawal.
Last Friday was especially an auspicious day for their depositors as led by PMC Bank, there were three more UCBs in which RBI decided to enhance the limit of withdrawal.
The depositors of Youth Development Cooperative Bank Limited, Kolhapur, Maharashtra which was placed under All-Inclusive Directions from close of business on January 05, 2019 received good news.
On a review of the bank’s liquidity position and its ability to pay the depositors, it has been decided to enhance the limit for withdrawal to Rs 20,000/- (Rupees Twenty Thousand only) per depositor, inclusive of Rs 5000/-, allowed earlier, read a press note from RBI. “With the above relaxation, more than 76% of the depositors of the bank will be able to withdraw their entire account balance”, it added.
Similarly, Hindu Cooperative Bank Limited, Pathankot which was under Direction since March 25, 2019 also got the news that RBI has enhanced the limit for withdrawal to Rs 50,000/- (Rupees Fifty Thousand only), inclusive of Rs 25,000 allowed earlier. With the above relaxation, more than 79% of the depositors of the bank will be able to withdraw their entire account balance.
Sri Guru Raghavendra Sahakara Bank Niyamitha, Bengaluru was another UCB to get a reprieve. Placed under Directions from close of business on January 10, 2020 the withdrawal limit per depositor under the existing directions is Rs 35,000/-.
“On a review of the bank’s liquidity position and its ability to pay the depositors, it has been decided to enhance the limit for withdrawal per depositor to ?1,00,000/- (Rupees one lakh only), inclusive of ?35,000/- allowed earlier”, the release read.
