New rule: Not keeping enough cash in ATMs can now cost banks heavily. The Reserve Bank of India has decided to impose a penalty on banks for running out of cash in ATMs. This arrangement will start from 1st October. The central bank has taken this step to remove the inconvenience caused to the people due to the non-availability of cash in ATMs. A fine of Rs 10,000 will be levied on the concerned bank that does not deposit money in the ATM on time.
RBI will levy this penalty on the banks concerned if there is no cash left in the ATM for more than 10 hours in a month. This arrangement will come into effect from October 1, 2021. The central bank said in a circular that the purpose of the levying penalty for non-dispensing of cash in ATMs is to ensure that sufficient funds are available in these machines for the convenience of the people.
The Reserve Bank has been given the responsibility of issuing notes. At the same time, banks bear the responsibility of making money available to the public through their wide network of branches and ATMs. The central bank said, therefore, it has been decided that banks / white-label ATM operators will strengthen their system regarding the availability of cash in ATMs and ensure that the cash is deposited in the machine on time so that people do not suffer.
