The Reserve Bank of India today said the limit on cash withdrawal from savings bank accounts will be removed in two stages. In the first stage, the weekly withdrawal limit will be increased to Rs 50,000 from the current Rs 24,000 from 20 February and then completely removed from 13 March.
The central bank had earlier on 30 January revoked the limits placed on cash withdrawals from current accounts/ cash credit accounts/ overdraft accounts. It had removed the daily withdrawal from ATMs from 1 February but kept the weekly limits on savings accounts at Rs 24,000.
However, it remains to be seen whether the central bank’s move to completely withdraw cash withdrawal limit will be of any use to the customers.