Exchange limit & ATM withdrawal limit raised

The finance ministry revised the cap on bank withdrawals on Sunday while advising similar changes to ATM withdrawals. The finance ministry has asked the banks to remove the daily withdrawal limit of Rs.10,000 and increase the weekly withdrawal limit of Rs. 20,000 to Rs. 24,000, so that the entire amount can be withdrawn at one time by cheque. "Banks have been advised to increase the Business Correspondents’ limit to Rs 2,500 for withdrawal from bank accounts, exchange limit over the counter from the existing Rs 4,000 to Rs 4,500 and cash withdrawal limit at ATMs from the existing Rs 2,000 to Rs 2,500 per day in the recalibrated ATMs," the finance ministry said on Sunday, after a review of the situation. The Centre has asked chief secretaries of states to identify rural pockets where availability of cash has been a problem and provide all support to banks and post offices in order to ensure the last-mile distribution of small denomination notes is done through mobile banking vans and Banking Correspondents (BCs). The banks have also been advised to make arrangements for separate queues for senior citizens and people with disabilities. After Sunday's late night cabinet meeting - headed by PM Modi - the limit for exempted transactions was extended till November 24 midnight. Old Rs. 500 and 1,000 notes will be accepted at government hospitals, petrol pumps and toll booths till November 24, Economic Affairs Secretary Shaktikanta Das said.