Withdrawal limits eased for overdraft, cash credit a/c holders

Moneycontrol BureauFollowing the distress caused by the demonetisation drive, the RBI in a series of conciliatory measures over the last one week has sought to ease cash supply.  Now, holders of current, overdraft and cash credit accounts may now withdraw up to Rs 50,000 in cash in a week. However, a criterion for the cash withdrawl is that such accounts should have been operational for three months or more.

In a note published on its website, the RBI said: "This enhanced limit for weekly withdrawal is not applicable for personal overdraft accounts. Such withdrawals may be disbursed predominantly in ₹2000 denomination bank notes.

It should be noted that on November 14 RBI had allowed current account holders (applicable to Current Accounts which are operational for last three months or more) to withdraw up to ₹50000 in cash, in a week. This facility has been extended now.