Free withdrawal days are over: ICICI, Axis, HDFC Bank restore cash charges

The new charges would apply to savings as well as salary accounts effective from today

Some banks, including HDFC Bank, have begun charging a minimum amount of Rs 150 per transaction for cash deposits and withdrawals beyond four free transactions in a month.

The new charges would apply to savings as well as salary accounts effective from today, leading private sector player HDFC Bank said in a circular.

The bank would also cap the third party cash transactions at Rs 25,000 per day, while cash handling charges would be withdrawn effective today, the circular added.

In the case of several banks, including ICICI Bank and Axis Bank, these charges came into effect early in January and are same as they were before the demonetisation move announced on November 8, while there is an increase in such fees in case of some others, including HDFC Bank, today onwards.

These charges are for cash transactions in the branches, and not through ATMs.

The move was seen in some quarters as aimed at discouraging cash transactions and furthering the digital payment drive.

For the basic no-frills accounts, maximum four cash withdrawals would continue to remain free and there would be no fees for cash deposits.

According to details on ICICI Bank website, there will be no charge for first four transactions a month at branches in home city while Rs 5 per thousand rupees would be charged thereafter subject to a minimum of Rs 150 in the same month.

The third party limit would be Rs 50,000 per day. Read More

Decoding the big ATM problem: India just doesn't have enough engineers for the job

Only once the ATMs are recalibrated and enough Rs 500 notes are printed, the chaos will be under control, say bankers.

Ten days on, the banking sector is yet to recover from the government's demonetisationmove. There are two main reasons for this. One, there is just not enough new notes being supplied by the Reserve Bank of India (RBI), even after running its printing presses over time. And the second, there are not enough technicians to recaliberate automated teller machines in the countries.

Only once the ATMs are recalibrated and enough Rs 500 notes are printed, the chaos will be under control, say bankers.

Even as top bankers are assuring public that the situation will normalise in a week, bankers behind the counters think otherwsie.

The new 500 notes have not been released in rural areas. Most of the branches just 20-30 kilometers from metros have not seen the new 500 rupee note as the currency chests are currently available only in cities. Even in metros, the stockpile of the new notes is thin.

A public sector bank branch manager in the outskirt of Kolkata told Business Standard that the currency chests are now dispensing soiled, old Rs 100 notes. Several customers withdrawing money from banks confirmed this. Customers who have withdrawn Rs 100 notes are not releasing them for daily transactions. Hoarding has ensured that the central bank is being forced to release old scrapped notes to the general public again.

The lack of technicians is the bigger problem.

At the end of August 2016, scheduled commercial banks had 2,02,801 ATMs (both onsite and offsite). There are also some more white level ATMs but they are shut as banks don’t have enough cash to feed even their own ATMs. Read More

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Demonetisation: Wholesellers in West Bengal suffering panic attacks

No respite from queues, chaos; ATMs grapple with cash shortage

Demonetisation halts disbursements by MFIs, hits self-help groups

Demonetisation: Get Rs 2,000 cash at petrol pumps from Nov 18

You have 50 days to deposit your notes: Full text of Modi's black money speech

Your money will remain yours. You need have no worry on this point

My dear citizens

I hope you ended the festive season of Diwali with joy and new hope. Today, I will be speaking to you about some critical issues and important decisions. Today I want to make a special request to all of you. You may recall the economic situation in May 2014 Narendra Modiwhen you entrusted us with an onerous responsibility. In the context of BRICS, it was being said that the “I” in BRICS was shaky. Since then, we had two years of severe drought. Yet, in the last two and a half years with the support of 125 crore Indians, India has become the “bright spot” in the global economy. It is not just we who are saying this; it is being stated by the International Monetary Fund and the World Bank.

In this effort for development, our motto has been ‘Sab Ka Saath Sab Ka Vikas’: We are with all citizens and for development of all citizens. This Government is dedicated to the poor. It will remain dedicated to them. In our fight against poverty, our main thrust has been to empower the poor, and make them active participants in the benefits of economic progress.

The Pradhan Mantri Jan Dhan Yojana,

the Jan Suraksha Yojana,

the Pradhan Mantri Mudra Yojana for small enterprises,

the Stand-up India programme for Dalits, Adivasis and Women,

the Pradhan Mantri Ujjwala Scheme for gas connections in the homes of the poor,

the Pradhan Mantri Fasal Beema Yojana and Pradhan Mantri Krishi Sinchai Yojana to protect the income of farmers,

the Soil Health Card Scheme to ensure the best possible yield from farmers’ fields,

and the e-NAM National Market Place scheme to ensure farmers get the right price for their produce

—these are all reflections of this approach.

In the past decades, the spectre of corruption and black money has grown. It has weakened the effort to remove poverty. On the one hand, we are now No. 1 in the rate of economic growth. But on the other hand, we were ranked close to one hundred in the global corruption perceptions ranking two years back. In spite of many steps taken, we have only been able to reach a ranking of seventy-six now. Of course, there is improvement. This shows the extent to which corruption and black money have spread their tentacles. Read More

Also Read:

Day after scrapping of Rs 500, 1,000 notes, banks remain shut

Modi declares war on black money, demonetises Rs 500 and Rs 1,000 currency notes

Bank deposits will spike: How Rs 500, Rs 1000 note ban will impact economy

Black money, terrror financing, fake notes: Why Modi banned Rs 500 and 1000 notes

Scrapping Rs 1,000 & 500 notes: Cash-for-vote will not be possible anymore

Modi fights corruption: Goodbye Rs 500, hello Rs 2000