Giving some relief to people, the Government on Sunday eased some key restrictions, including raising daily withdrawal limits from bank counters and ATMs as well as hiking the amount of old and now defunct currency notes that can be exchanged.
After Finance Ministry reviewed the position regarding availability and distribution of notes of all denominations, the limit of old and now defunct Rs500 and Rs1,000 notes that can be exchanged for freshly minted Rs2,000 and new Rs500 notes has been increased from Rs4,000 to Rs4,500 per day while cash withdrawal limit at ATMs has been hiked to Rs2,500 from Rs2,000 a day.
The weekly limit of Rs20,000 for withdrawal from bank counters has been increased to Rs24,000. The maximum limit of Rs10,000 per day on such withdrawals has been removed, the Ministry said in a statement.
To augment cash supplies, newly printed hard-to-fake Rs500 notes were also released in market.
“Banks have been advised to increase the issuance and use of mobile wallets and debit/credit cards as also to provide them to those customers and establishments not having access to these non-cash means of payment,” it said.
Also, the last date for submission of the annual life certificate for the Government pensioners which is to be submitted in November every year has been extended up to January 15, 2017.
Banks have also been advised by the Government to make arrangements for separate queues for Senior citizens and Divyang persons. Separate queues will also be arranged for exchange of cash to cash and transactions against Bank accounts.
Also, chief secretaries of the States have been asked to identify the rural pockets where availability of cash has been a problem and provide all support to ensure the last mile distribution of small denomination of notes is done through mobile banking vans and Banking Correspondents (BCs), the statement said.
“It has been reported that certain business houses viz. hospitals, caterers , tent houses etc. Are not accepting Cheques/Demand Drafts and online payment transfer from customers. It is advised that in such cases customer can make a complaint to the concerned District Magistrates/District Administration for action against such establishments,” the statement said.
All banks have been advised to arrange mobile banking vans to the extent possible at major hospitals to carry out emergency banking transaction for patients.
“State governments have been requested to facilitate opening of new bank accounts as a part of financial inclusion programme,” the statement added.