Millennium Post

Govt’s stiff withdrawal norms give wedding families nightmares

Stringent conditions imposed by the government on cash withdrawal limit of up to Rs 2.5 lakh for a marriage have made it difficult for the families with upcoming weddings to meet all guidelines in order to get the money needed for expenses.

Bank managers said most of the people who approach bank branches to withdraw cash for wedding are not able to fulfill the necessary criteria.

The RBI on Monday issued detailed operating guidelines for banks for dealing with such withdrawal requests.

It said that withdrawals would be allowed only from balance available before November 8 decision of the government to demonetise 500 and 1,000 currency notes and the same can be done only for marriages solemnised on or before December 30.

However, in a marginal relief, the RBI has relaxed one of several conditions for withdrawal of Rs 2.5 lakh from bank accounts by making declaration for payments beyond Rs 10,000 only. Earlier, the drawee had to declare all payments he had to make out of the Rs 2.5 lakh withdrawal from the account.

The apex bank said lenders will ask for three documents including a detailed list of persons to whom the cash withdrawn is proposed to be paid together with declaration from such persons that they do not have the bank accounts. 
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