Money & Banking

RBI doubles cash withdrawal limit at POS in Tier-III to VI centres

Our Bureau Mumbai | Updated on January 23, 2018 Published on August 27, 2015

The Reserve Bank of India has enhanced the limit for cash withdrawal at Point of Sale (for debit cards and open system prepaid cards issued by banks in India) from ₹1,000 to ₹2,000 per day in Tier III to VI centres with immediate effect. The per-day limit in Tier I and II centres remains unchanged.

Customer charges, if any, levied on cash withdrawals cannot exceed 1 per cent of the transaction amount at all centres irrespective of the limit of ₹1,000 / ₹2,000.

Such cash withdrawal facility may be provided by banks subject to conditions including merchant establishments indicating/ displaying clearly the availability of this facility along with the charges, if any, payable by the customer.

The facility should be available irrespective of whether the card holder makes a purchase or not. In case the facility is availed along with the purchase of merchandise, the receipt generated shall separately indicate the amount of cash withdrawn.

Banks offering this facility shall have an effective customer redressal mechanism. Complaints in this regard will fall within the ambit of the Banking Ombudsman Scheme.

Card issuing banks that have enabled this functionality need to create sufficient awareness of this facility amongst their customers.



Published on August 27, 2015
This article is closed for comments.
Please Email the Editor