The Reserve Bank of India has banned another co-operative sector bank. Actually, Nashik’s Independence Co-operative Bank Limited has been banned by RBI.
According to a news agency, this action has been taken by the RBI as a precaution due to the financial situation of the bank being fragile. After the ban by the RBI, bank account holders will no longer be allowed to withdraw money. That is, the account holders will not be able to withdraw money.
At the same time, about 99.88 percent of the accountancy co-operative bank account holders are eligible for the insurance cover of Deposit Insurance and Credit Guarantee Corporation. Under this insurance cover scheme the bank account holder is provided insurance cover on deposits up to 5 lakhs.