From 18th March at 6pm, troubled private lender Yes Bank will resume its full banking services across 1132 branches in India. On March 5, the Reserve Bank of India imposed a moratorium on Yes Bank, limiting withdrawals to 50,000 rupees per depositor until April 3. From Wednesday evening, the bank customers will be able to withdraw more than Rs 50,000 from ATMs or even do online transfers using NEFT, IMPS and RTGS. The bank's UPI services, stopped since March 5, will also resume.
SBI has announced waiving fees for non-maintenance of the average monthly balance (AMB) for all savings bank accounts of 44.51 crores. At present, the bank customers must maintain an AMB of Rs 3,000, Rs 2,000 and Rs 1,000 in metropolitan, semi-urban and rural areas, respectively. A penalty of Rs 5-15 plus taxes is levied for non-compliance with the AMB. The bank has also waived the SMS costs and fixed the interest rate on the savings bank account to 3% per year.
Largest public sector lender, State Bank of India has announced a reduction its marginal cost of fund-based lending rate (MCLR) by up to 15 basis points across various tenors effective 10th March. SBI's overnight and one-month MCLRs have been reduced by 15 basis points to 7.45% each. Three-month MCLR has been revised to 7.50%. The new one-year , two-year and three-year MCLRs stand reduced by 10 basis points to7.75%, 7.95% and 8.05% respectively. The move which will make home loans cheaper.
The Yes bank was placed under a moratorium on 5 March by the RBI. Because of their undergone financial position and inability to raise capital to recover potential loan losses. They have also experienced serious governance issues. Bank's founder Rana Kapoor and his family were booked by the CBI on Monday. Now the bank's customers can make payments towards credit card dues. They can also pay loan obligations from other bank accounts. As the bank has enabled inward IMPS/NEFT services.
The State Bank of India, cut interest rates on fixed deposits with effect from March 10. Now, the FDs between 7-45 days will offer 4%, against 4.5% earlier. Similarly, FD between 1year- 5 years and between 5-10 years will offer 5.9%, against 6% earlier. However, the seniors will continue to get 50 basis points higher interest rates than the general public. These rates are applicable on FDs of less than Rs 2 crores. The new FD interest rates will apply to new deposits and renewals of maturing deposits.
Although the government has limited withdrawals from Yes bank accounts to a maximum of 50,000 rupees per month, the deposits with Yes bank are insured up to 5 lakh rupees by DICGC. Budget 2020 proposed to increase insurance coverage for deposits with regular banks from Rs 1 lakh to Rs 5 lakh by the Deposit Insurance and Credit Guarantee Corporation (DICGC) with effect from February 4, 2020. This may be the reason why RBI allows depositors to withdraw up to Rs 5 lakh or the total account balance, whichever is lower, in special or emergency circumstances.
The Reserve Bank of India put Yes Bank under a one-month moratorium, limiting withdrawals from at Rs 50,000 for the next 30 days. Also, directed to limit its expenses at Rs 50,000. RBI has also superseded the board of Yes Bank with immediate effect and restricted from granting or renewing any loan, make investments, incur liability or agree to disburse any payment. However, the bank will be allowed to spend money on making disbursements to depositors and creditors within the Rs 50,000 limit imposed by the RBI.
In the third long-term repo operation (LTRO) conducted by the RBI for an amount of Rs 25,000 crore, it has received Rs 1.71 lakh crore. And in the three-year tenor LTRO, the central bank received 66 bids. It has a reversal date on March 1, 2023. The RBI will conduct another LTRO on March 9 for a three-year tenor worth Rs 25,000 crore. Two LTROs for Rs 25,000 crore have already been conducted by RBI each on February 17 and February 24.
When you are canceling your e-ticket, the refund of a canceled ticket is automatically processed. So, do not disclose any confidential information like Account no., ATM card, PIN, TPIN, CVV no. & UPI details in any other form or over phone calls. IRCTC advised customers not to share their booking and cancellations details on any social media platforms. And also while you are searching on Google and other similar platforms. Because these platforms may contain many miscreant mobile apps and solutions aimed at misusing user credentials.
Public bank Allahabad Bank announced on Saturday a drop of up to 40 basis points in interest rates on products linked to external benchmarks. The Bank's Asset Liability Management Committee (ALCO) decided to revise the interest rates for products linked to the external benchmark with effect from March 1, 2020. The RBI repo rate remains unchanged at 5.15%. The three-month MIBOR which refers to Mumbai Interbank Offered Rate fell from 6.15% to 5.75%.