ATMs go dry soon after opening; queues continue at banks

Most of the machines were equipped to tender Rs 100 notes, while some were still not working.

By: PTI | New Delhi | Updated: November 11, 2016 8:07 pm
ATM, new notes, new money, new 500 notes, 2000 notes, new cash, atm withdrawal limit, withdrawal limit, atm open today, atm, 500 rs note, atm near me A large queue of people wait outside a bank to exchange Indian currency in the denominations of 1000 and 500 that have been declared to be of no value, in New Delhi, Friday, November 11, 2016. (Source: AP Photo)

Long queues were witnessed at banks and ATMs, which opened after two days, as people rushed to get new banknotes in lieu of their old defunct bills. Many ATMs ran out of cash in couple of hours as there were heavy rush to withdraw lower denomination currency. Most of the machines were equipped to tender Rs 100 notes, while some were still not working. Banks are saying that they are trying to recalibrate their machine for higher denomination notes, it will take some days before they start tendering new high security Rs 500 and 2000 notes which is expected to ease pressure.

Read: Here are the security features on new Rs 500, Rs 2,000 notes

However, to ensure customer convenience, banks have been asked to provide all cash withdrawal transactions at their ATMs free of cost till 30 December. Banks across country are witnessing heavy rush on the second day as people gathered to get new banknotes in exchange of old bills. After the government scrapped Rs 500 and Rs 1,000 notes, banks were shut on Wednesday, and ATMs were supposed to be out of service for re calibration on Wednesday and Thursday.

Read: You will need this form to give back your old Rs 500, Rs 1000 notes

In the financial capital of the country, shutters of ATMs of State Bank of India, HDFC Bank, Bank of Baroda, Yes Bank, Dena Bank were down in many parts. ATMs of many banks reported running dry. From Friday onwards, customers are allowed to withdraw up to Rs 2,000 per day from ATMs till November 18. The withdrawal limit will be raised to Rs 4,000 per day per card from November 19, 2016.

In the two days when the ATMs were out of service, the banks said they will re-configure their ATMs to dispense Rs 100 and Rs 50 notes.

In Madhya Pradesh, the situation was no different. “We are in the process of offloading and again loading ATMs with cash and the situation will start normalising by evening,” State Level Bankers Committee Convener and Central Bank of India’s field general manager Ajay Vyas told PTI. “It is a long process and takes time. But I am getting reports every half-an-hour that ATMs are being loaded and are dispensing money,” he said, adding “things would start normalising by evening.”

The ATMs are dispensing only Rs 100 notes at present, he said. However, cash-strapped customers had a harrowing experience withdrawing money.
K P Saxena, a city resident, said, “We stood in queue for almost an hour to replace the banned currency with new notes. The process is taking lot of time and new currency is not being provided.”