New Delhi. Banking sector Regulator Reserve RBI (RBI) has imposed several restrictions on the functioning of New India Co-operative Bank in Mumbai. This will affect the customers of the bank customers, who will no longer be able to withdraw their blood and sweat.
After the RBI ban, New India Co-operative Bank will no longer be able to give any loan nor take any deposit. The ban has been implemented for the next six months since 13 February 2025. This will also cause problems for customers as they will no longer be able to withdraw their money deposited in their bank. However, during this time the RBI will conduct a fine investigation of the bank’s functioning and he can also give necessary concession after the restriction period is over.
RBI said in its statement, “Keeping in mind the current cash (liquidity), the bank has been instructed not to allow any depositor to withdraw money from a savings account, current account or any other account.” Although the bank is allowed to adjust (set off) against the loan amount, provided that it should be according to the RBI instructions. In addition, the bank can spend on essential things like salary, rent and electricity bill.
According to the RBI instructions, the customers of the New India Co-operative Bank will no longer be able to remove their deposits. If the RBI gives any relief to the bank after investigation, customers will be able to withdraw their money. In case of this, the depositors will get an insurance claim of up to Rs 5 lakh on their deposit. This claim will be received from the Deposit Insurance and Credit Guarantee Corporation (DICGC).
