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The Reserve Bank of India (RBI) has imposed several restrictions on New India Cooperative Bank, including a withdrawal limit of ₹25,000 per depositor. This decision comes as the bank faces continuous financial losses.

According to the latest RBI directive, Mumbai-based customers of New India Cooperative Bank will now be able to withdraw only ₹25,000 from their accounts. This limit will be effective from February 27, 2025.

• The RBI imposed multiple restrictions on New India Cooperative Bank due to financial instability.
• The bank was barred from closing operations from February 13, 2025, for the next six months.
• Initially, RBI restricted all withdrawals, but under the new order, depositors can now withdraw up to ₹25,000.
• Withdrawals can be made via bank branches and ATMs.

• Over 50% of total depositors will be able to withdraw their entire balance as their deposits are below ₹25,000.
• The remaining depositors can withdraw up to ₹25,000 per account.
• Before this relaxation, depositors were not allowed to withdraw any amount from their savings, current, or other accounts.

Apart from withdrawal limits, RBI has restricted the bank from:

✔ Granting new loans
✔ Accepting fresh deposits
✔ Making payments

Additionally, on Friday, February 23, RBI removed the board of New India Cooperative Bank and appointed former SBI official Srikant as the administrator for the next 12 months.

The RBI’s intervention aims to protect depositors and stabilize the bank. Customers of New India Cooperative Bank are advised to withdraw funds accordingly and stay updated on further developments.

Stay tuned for more financial updates!