RBI temporarily postpones circular on current account till December 5

As part of its monetary policy on August 6, it said no bank can open current account for a customer who has availed cash credit or overdraft from other banks

The Reserve Bank of India (RBI) has deferred banks’ current account maintenance norm till December 15, from November 5, pending a frequently asked question that the central bank would publish on its website.

As part of its monetary policy on August 6, the central bank said no bank can open current account for a customer who has availed cash credit or overdraft facility from others in the banking system, and from now on, all transactions will now have to be routed through the cash credit, or overdraft account.

The RBI said banks should not route withdrawal from term loans through