In an important announcement made by the Reserve bank of India (RBI), now there will be no limits on the withdrawal from Current accounts/ Cash credit accounts/ Overdraft accounts with effect from February 1. However, the weekly limit of cash withdrawal from the saving bank account which was Rs. 24,000 per account per week, will continue till the next directions are issued.
A Reserve Bank of India notification said limits on ATM withdrawals will also go from Wednesday. But the curbs on Savings Bank accounts across the counter will remain. The limits were placed following the November 8 demonetisation of Rs 1,000 and Rs 500 notes.
Earlier on January 16, the ATM withdrawal limit was increased from the limit of Rs 4500 to Rs 10,000 per day, per card. Also, 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.
Prior to this announcement, the ATM withdrawal limit was also increased from ₹2,500 to ₹4,500, to help people in the stagnant cash crunch observed after Prime Minister Narendra Modi announced his decision to demonetise Rs 500 and Rs 1000 currency notes.
Meanwhile, former Prime Minister Manmohan Singh and ex-Finance Minister P Chidambaram on January 30 attacked the Narendra Modi-led NDA government at the Centre ahead of the Budget session.
During the press conference in New Delhi, veteran Congress leader Manmohan Singh said: “Indian economy not in good shape.”
Earlier on December 21, 2016, RBI had announced that KYC account holders will not be questioned on depositing an amount over Rs 5000.
This came just two days after the RBI announced that the old currency notes of Rs 500 and Rs 1000 of more than Rs 5000 can be deposited only once per account until 30 December.