Banks can provide a host of relief measures, including relaxing know-your-customer (KYC) norms, waiving ATM fees, and increasing ATM withdrawal limits to customers in areas affected by natural calamities, according to the Reserve Bank of India.

Given that many persons displaced or adversely affected by a major calamity may not have access to their normal identification and personal records, the RBI said in such cases, bank branches may resort to non-documentary verification methods.

The affected people can open a small account based on the photograph and signature or thumb impression in front of the bank official. 

Temporary premises

In areas where the bank branches are affected by natural calamity and are unable to function normally, banks may operate from temporary premises. Banks may consider putting in place arrangements for allowing their customers to access other ATM networks, mobile ATMs, etc.

Other measures that banks may take, at their discretion, to alleviate the condition of affected persons could be waiving off ATM fees, increasing ATM withdrawal limits; waiving off overdraft fees and waiving off early withdrawal penalties on time deposits.

They can also waive off late fee for credit card/other loan instalment payments and give option to credit card holders to convert their outstanding balance to EMIs repayable in one or two years.

Besides, all charges debited to the farm loan account, other than the normal interest, may be waived off considering the hardship caused to farmers, the RBI said in its guidelines for relief measures by banks in areas hit by calamities.

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