Deposit Insurance Limit
Govt should bear higher premium for increased deposit insurance: AIRBEA
Currently, with coverage being for Rs 5 lakh, 97.8 per cent of the total number of deposit amounts are fully protected. However, in terms of value only 43.1 per cent of the deposits are insured
Deposit insurance cover may increase from Rs 5 lakh: DFS secy Nagaraju
Currently, deposits of up to ₹5 lakh are covered under the deposit-insurance scheme of Deposit Insurance and Credit Guarantee Corporation
RBI deputy guv Rao bats for need to periodically raise deposit insurance
An alternative targeted insurance approach with full coverage for certain sections of customers like small depositors and senior citizens can be explored
RBI cancels licence of Purvanchal Co-op Bank over lack of adequate capital
The Reserve Bank has cancelled the licence of Purvanchal Co-operative Bank, Ghazipur, Uttar Pradesh as it does not have adequate capital and earning prospects. The Commissioner for Cooperation and Registrar of Cooperative Societies, Uttar Pradesh has also been asked to issue an order for winding up the bank and appoint a liquidator, the RBI said in a statement. On liquidation, every depositor would be entitled to receive deposit insurance claim amount of his/her deposits up to Rs 5 lakh only from Deposit Insurance and Credit Guarantee Corporation (DICGC). As per the data submitted by the Purvanchal Co-operative Bank, about 99.51 per cent of the depositors are entitled to receive full amount of their deposits from DICGC, the RBI said. Giving details, the RBI said the cooperative bank with its present financial position would be unable to pay its present depositors in full. "The bank does not have adequate capital and earning prospects," it said, and added public interest would be .
How do countries safeguard depositors' money when banks like SVB collapse?
Find out how governments and central banks ensure that the depositors' money is protected in case of fallout, like Silicon Valley Bank (SVB) here
Deposit insurance reforms to instil confidence in people on banking: PM
At Vigyan Bhawan, the Prime Minister said banks play an important role in the progress of any nation
Deposit insurance: Urban cooperative banks major beneficiaries, shows data
By March 2020, 357 urban cooperative banks (UCBs) had failed in the country, leading to payment of Rs 4,903 crore in claims
Depositors to get up to Rs 5 lakh within 90 days if bank under moratorium
The announcement covers 98.3% of all deposit accounts and 50.9 per cent of the deposit value, Finance Minister Nirmala Sitharaman said
How much money will you get if your bank goes bust?
The Rs 5-lakh cover brings around 93 per cent of all deposit accounts and 34 per cent of the value of deposits under it
Hike in deposit insurance cover will not hit banks' balance-sheets: RBI
The Reserve Bank does not see any major impact on the balance-sheets of banks due to the five-fold hike in deposit insurance to Rs 5 lakh. Following the failure of a number of cooperative banks, with the city-based PMC Bank being the latest and the largest last year, the budget allowed the Deposit Insurance and Credit Guarantee Corporation (DICGC) to raise deposit insurance coverage to Rs 5 lakh from Rs 1 lakh. "The premium is something, which we consider, will increase from 10 paise to 12 paisa per Rs 100 for the time being. So, the impact on banks' balance sheets is not likely to be much," RBI Deputy Governor B P Kanungo told reporters during the post-policy presser. The hike in deposit insurance coverage has been a long pending demand from bank depositors and it recently came to fore after the crisis at Punjab & Maharashtra Cooperative (PMC) Bank. It can be noted that in 2019 alone more than 30 cooperative banks went belly up in Maharashtra alone. The DICGC, a wholly-owned ...
It's not the right stage to put differential premium on banks: Finance Secy
Finance minister had announced hiking the deposit insurance limit to Rs 5 lakh for each bank depositor
Budget 2020: Bank's deposit insurance premia to rise by over Rs 28,000 cr
Bankers say move will not dent their balance sheets significantly, but will take up the matter with RBI, which they say can share some of the burden
Budget 2020: Govt increases deposit insurance to Rs 500,000 from Rs 100,000
The increase in deposit insurance cover is being done after 27 years
India's deposit insurance cover lowest among BRIC, says FM Sitharaman
The ratio for China stands at 7.4, and for Russia, it is 2.2
Deposit insurance may be raised to Rs 5 lakh; new wholesale plan in offing
New scheme likely for wholesale at Rs 25 lakh; proposals could figure at RBI board meet
Letter to BS: Deposit insurance cover needs to be hiked to Rs 10,00,000
Second, risk-based premium should be introduced, based on supervisory ratings for banks
Podcast: Why RBI wants a risk-based insurance cover model for banks
At present, an individual's aggregate deposits in a bank, including fixed deposits, are insured for up to Rs 1 lakh by DICGC
RBI steps in to raise deposit insurance cover for customers from Rs 100,000
RBI asks arm to create model that'll make banks pay premiums depending upon their risk factor
RBI's subsidiary DICGC to revamp 50-year-old deposit insurance scheme
Deposit insurance was last revised on May 1, 1993, after the collapse of the Bank of Karad
Govt open to increase deposit insurance limit of Rs 100,000: Jaitley
The finance ministry also in a statement clarified 'certain misgivings' about the FRDI Bill
