No relief for savings account holders, but withdrawal limits off for others from February 1

The weekly limit of cash withdrawal from the banks which was Rs. 24,000 per account per week, will continue till the next directions are issued.

No relief for savings account holders, but withdrawal limits off for others from February 1

Reserve Bank of India on Monday lifted all limits on cash withdrawals from current accounts across bank counters and ATMs from Wednesday, February 1.

The central bank added that the restrictions on savings bank accounts would continue for now and are "under consideration for withdrawal in the near future."

While the weekly limit of cash withdrawal from the banks, which was Rs. 24,000 per account per week, will continue till the next directions are issued.


In a circular, RBI stated that on a review of the pace of remonitisation, it has been decided to partially restore status quo ante as under:
1) Limits placed vide the circulars cited above on cash withdrawals from Current accounts/ Cash credit accounts/ Overdraft accounts stand withdrawn with immediate effect.

2) The limits on Savings Bank accounts will continue to the present and are under consideration for withdrawal in the near future. Limits vide the circulars cited above placed on cash withdrawals from ATMs stand withdrawn from February 01, 2017. However, banks may, at their discretion, have their own operating limits as was the case before November 8, 2016, subject to 2 (ii) above.

3. Further, banks are urged to encourage their constituents to sustain the movement towards digitisation of payments and switching over to payments from cash mode to non-cash mode.







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