ATM withdrawal limit enhanced from Rs 4500 to Rs 10,000 per day: RBI

Also the limit on withdrawal from current accounts has been enhanced from current limit of Rs 50,000 per week to Rs 1 lakh per week.

By: Express Web Desk | New Delhi | Updated: January 17, 2017 10:11:25 am
rbi, reserve bank of india, rbi rate cut, rbi interest rate, rbi interest rate cut, arun jaitley, urjit patel, business news, indian express, india news The Reserve Bank of India (Source: File)

The Reserve Bank of India on Monday enhanced the withdrawal limit from ATM from Rs 4500 to Rs 10,000 per day, per card. Also the limit on withdrawal from current accounts has been enhanced from current limit of Rs 50,000 per week to Rs 1 lakh per week.

However, the overall weekly withdrawal limit of 24,000 rupees per card remains unchanged, it said in a release. It also added that there are no changes in the other conditions and relaxations as provided in RBI circular dated November 28, 2016 will continue.

WATCH VIDEO | Reserve Bank Of India Enhances ATM Withdrawal Limit From Rs 4,500 To Rs 10,000 Per Day

“On a review of limits placed on withdrawals from ATMs and current accounts, it has been decided to enhance the same, with immediate effect…,” the central bank said in a notification.

RBI had increased the daily withdrawal limit from ATMs to Rs 4,500 from Rs 2,500 effective January 1. “The limit on withdrawals from ATMs has been enhanced from the current limit of Rs 4,500 to Rs 10,000 per day per card,” RBI said, adding that it will be operative within the existing overall weekly limit.

The limit on withdrawal from current accounts has been enhanced from the current limit of Rs 50,000 per week to Rs 1 lakh per week and it extends to overdraft and cash credit accounts also, RBI said.

RBI had placed limits on cash withdrawals following demonetisation of old Rs 500 and Rs 1,000 notes on November 9, 2016. The 50-day demonetisation period ended on December 30.

However, NRIs and Indians who were abroad during the demonetisation period have been given additional time to deposit their old currency notes.

According to Bank of Maharashtra Executive Director R K Gupta, the relaxation by RBI is a clear indication that cash situation is easing.

About 75 per cent of ATMs of the bank are functioning round the clock, he said, adding, all banks are pushing more than 40 per cent of their cash into rural and semi-urban area to ensure adequate cash availability.

Cash position is getting better day by day and rush at ATMs has come down significantly, said another senior official of a public sector bank.

However, the limit is something that RBI takes a call and complete removal of the limit would be done after due diligence and feedback from all the banks, the official added.

“ATM cash supply situation is near normal. About Rs 8,000 crore on daily basis is being fed across the country. We are gearing up for higher loading frequency and meet the requirement,” said Rituraj Sinha, the president Cash Logistics Association.

“The limit on withdrawals from ATMs has been enhanced from the current limit of Rs 4,500 to Rs 10,000 per day per card,” RBI said, adding that it will be operative within the existing overall weekly limit.

The limit on withdrawal from current accounts has been enhanced from the current limit of Rs 50,000 per week to Rs 1 lakh per week and it extends to overdraft and cash credit accounts also, RBI said.

RBI had placed limits on cash withdrawals following demonetisation of old Rs 500 and Rs 1,000 notes on November 9, 2016. The demonetisation ended on December 30.

However, NRIs and Indians who were abroad during the demonetisation period have been given additional time to deposit their old currency notes.

(With inputs from PTI)

For all the latest Business News, download Indian Express App