Come February 1, 2017, and you can withdraw as much cash as needed from the ATMs. The RBI announced that all limits on withdrawals from ATM stand removed.
Not just ATMs, limits on current accounts, cash credit accounts and overdraft accounts, too, will be lifted from Wednesday.
The restrictions were imposed starting November 8, 2016 when PM Modi announced the government’s demonetisation move.
Daily limits for withdrawal were raised in stages. The current limit of Rs.10,000 in a day shall remain in force till tomorrow.
Limits on the savings bank account, which is the most used type of bank account in the country, shall remain in force till the RBI decides to remove them.
Currently, they have a withdrawal limit of Rs.24,000 per week per account.
However, there is a clause. Despite the lifting of restrictions, bank may not be able to give cash to customers at all times.
RBI has allowed the banks to set their own limits. This means that a bank with less money can place a limit to serve as many customers as possible.
The government’s demonetisation move took the nation by surprise. Old Rs.500 and Rs.1000 notes were scrapped. While new Rs.500 notes were subsequently issued, the Rs.1000 note was completely done away with. A new Rs.2000 note was issued in its place as the highest denomination legal tender.