Latest Posts


Tuesday, December 20, 2016

Curbs on demonetised note deposits exceeding Rs 5,000

The Reserve Bank of India on Monday announced that it would allow cumulative deposits of up to Rs 5,000 worth of the demonetised Rs. 1,000 and old Rs. 500 in bank accounts up to December 30.

Deposits of more than that, as a single deposit or cumulatively, will be allowed only once, but they will have to be accompanied by an on-record “satisfactory explanation” as to why they weren’t deposited earlier, in the presence of at least two bank officials.

These restrictions, however, do not apply to deposits made under the government’s new income declaration scheme, the Pradhan Mantri Garib Kalyan Yojana 2016.

“Tenders of SBNs [specified bank notes] in excess of Rs. 5,000 into a bank account will be received for credit only once during the remaining period till December 30, 2016,” the RBI said in a notification. 

“The credit in such cases shall be afforded only after questioning tenderer, on record, in the presence of at least two officials of the bank, as to why this could not be deposited earlier and receiving a satisfactory explanation. The explanation should be kept on record to facilitate an audit trail at a later stage. An appropriate flag also should be raised in CBS [core banking solution] to that effect so that no more tenders are allowed.” it said.

“It may also be ensured that full value of tenders of SBNs in excess of Rs 5,000 shall be credited to only KYC compliant accounts and if the accounts are not KYC compliant credits may be restricted up to Rs 50,000 subject to the conditions governing the conduct of such accounts,” it added.

Deposits of the specified limits can be made in third-party accounts if the account-holder provides suitable authorisation to the bank and the person depositing the amount shows approved identification. 
Source :

No comments:

Post a Comment