1. Payments of Rs 1 crore and above between banks, NBFCs, primary dealers and any other entities regulated by the Reserve Bank of India may be allowed only through electronic mode from April 1. All such payments above the cut-off point done between parties regulated by the RBI should be through Real Time Gross Settlement or National Electronic Fund Transfer.
The new guidelines will also be applicable to participants in the RBI-regulated markets such as foreign exchange, money and Government securities markets.
The new guidelines will also be applicable to participants in the RBI-regulated markets such as foreign exchange, money and Government securities markets.
2. Banks will now have to make withdrawals from ATMs free of charge for their own customers. Requests for balance enquiries would have to be made free to customers of other banks as well. In a draft circular, the RBI has asked banks to implement these changes with immediate effect.
For use of other bank ATMs for cash withdrawals, the RBI has asked banks not to charge more than Rs 20 with effect from March 31, 2008. This will also gradually be made free of charge by April 1, 2009.
For use of other bank ATMs for cash withdrawals, the RBI has asked banks not to charge more than Rs 20 with effect from March 31, 2008. This will also gradually be made free of charge by April 1, 2009.
3. Individuals who do not have an individual proof of residence can now open an account with any bank by producing the utility bill of a close relative as a proof of residence along with a declaration from the relative, said a notification from the Reserve Bank of India.The utility bill, which is an important source of address proof, is generated in the name of the person owning the residence. There are instances where a wife staying with her husband or parents staying with their son, or children with parents find it difficult to open account in some banks as the utility bills required for address verification are not in their name.
4. The Union Bank announced the opening of five fully computerised branches in the districts of Vizianagaram and East Godavari, according to a press release here on Monday. The new branches are situated at Bobbili, Salur and Parvatipuram in Vizianagaram district and Kakinada and Rajahmundry in East Godavari district.
5. Canara Bank launches online trading facility at select CBS brancjes.
6. The Reserve Bank of India has cleared the branch licence of Swiss bank UBS AG, which was put on hold following investigations into certain fund transactions.
7. The officers and staff of State Bank of India will observe a two-day strike on February 25 and 26 in support of various demands.
8. Tuticorin-based Tamilnad Mercantile Bank has got licences to open branches at 17 new locations in the country.
9. Banks are going slow on lending for purchase of two-wheelers. Such lending has seen a decline of more than 15 per cent over the past year, said officials from banks which are active in this segment.
10. The Government of India’s subscription to the rights issue of State Bank of India will be against the issue of ‘Special Marketable government securities’ and not SLR (Statutory Liquidity Ratio) Marketable Securities.The SBI said it will issue a corrigendum to its Letter of Offer for the rights issue, intimating its shareholders of the change.The bank has also informed SEBI of the matter
