Indians have something more to cheer about this Holi, as the Reserve Bank of India (RBI) has lifted all cash withdrawal limits on savings account. This implies that people can now withdraw as much cash as they want from their savings account. This would be applicable for cash withdrawals from bank branches as well as ATMs. Earlier, the cash withdrawal limit for savings accounts was Rs 50,000 per week. Even prior to that, the cash withdrawal limit was Rs 24,000 per week for savings accounts.
Speaking on the RBI’s decision, RBI Deputy Governor R Gandhi said, “The limits on cash withdrawal from savings bank accounts continue to be in place. In line with the pace of remonetization, it has now been decided to remove these limits in two stages.” After more than four months of struggling with cash, this recent announcement by RBI is certainly going to bring cheer among the people of India.
It may be recalled that when the government had announced the demonetization of Rs 500 and Rs 1000 currency notes, the cash withdrawal limit for savings account was just Rs 2,500 per week. Later it was raised to 4,500, then 10,000, then 24,000 and finally 50,000. Now, from March 13, there’s no limit whatsoever, and people can withdraw as much cash as they want from their savings accounts.