RBI issues guidelines on wedding withdrawls

Reserve Bank has said that banks can disburse 2 lakh 50 thousands rupees to members of public who have a wedding in their family on or before December 30, 2016. In a notification, it said that withdrawal can be made by either of the parents or the person getting married and only from those accounts that are fully KYC compliant.

RBI has asked banks to fully verify that the amount proposed to be withdrawn is to be used for payment to persons who do not have a bank account. Evidence of the wedding, including the invitation card, copies of receipts for advance payments already made, such as marriage hall booking, advance payments to caterers, etc must be produced by the person intending to withdraw the



money.

Additionally, a detailed list of persons for whom cash payment is required along with a declaration from such persons that they do not have a bank account will be mandatory. RBI has said that banks shall keep a proper record of the evidence and produce them for verification by the authorities in case of need. 

In another notification, RBI has asked banks to allow farmers to draw upto 25000 rupees per week in cash from their loan, including Kisan Credit Card limit or deposit accounts subject to their accounts being fully KYC compliant. RBI has also allowed traders registered with APMC markets to withdraw 50,000 rupees cash from their current account if they are KYC compliant and in operation from last three months or more.