Withdrawal from Jan Dhan account capped at Rs. 10,000 per month

The Reserve Bank of India, in a notification issued on Tuesday, said Jan Dhan account holders can withdraw only up to Rs. 10,000 per month.

It added that, “Limited or Non KYC compliant account holders may be allowed to withdraw Rs. 5,000 per month from the amount deposited through SBNs after November 09, 2016 within the overall ceiling of Rs. 10,000.”

The central bank said the move was to protect rural account holders from activities of money laundering and legal consequences under the Benami Property Transaction & Money Laundering laws.

Deposits in Jan Dhan accounts soared sharply by around Rs. 27,200 crore in just 14 days after the announcement of ban on Rs. 500 and Rs. 1,000 notes. The total deposits in the 25.68 crore Jan Dhan accounts crossed the Rs. 70,000 crore mark and were at Rs. 72,834.72 crore on November 23.

Source: The Hindu