Page 13 - Banks

Key points to consider before taking an overdraft facility

Frequent overdrafts that remain maxed out can negatively affect your credit score

New India Coop Bank had capacity for Rs 10 cr, book showed Rs 122 cr: EOW

New India Cooperative Bank's Prabhadevi branch in Mumbai had a capacity to keep Rs 10 crore at a time, but the cash in hand book showed there was Rs 122.028 crore in the safe on the day of RBI inspection, police officials said on Tuesday, citing probe into a fraud case. Mumbai Police's Economic Offences Wing (EOW) is probing a Rs 122-crore embezzlement at New India Cooperative Bank and has arrested three persons, including two former top executives of the lender, so far. The RBI inspection team visited the corporate office branch of the bank at Prabhadevi on February 11, where they found Rs 122 crore cash was missing from the safe, an official said. The balance sheet at the corporate office branch was showing Rs 133.41 crore at the bank's safe at Prabhadevi and Goregaon branches, and Rs 122.028 was the figure on the balance sheet of Prabhadevi branch on that day, he said. During the probe, the EOW found the capacity of the safe at the corporate office to store cash was only Rs 10 .

Explained: New India Cooperative Bank crisis

In a partial relief for depositors of the fraud-hit New India Cooperative Bank, the RBI has allowed withdrawals of up to Rs 25,000 per depositor. What is the crisis and what is the RBI doing about it.

Know if banks are open or closed tomorrow in your state on Mahashivratri

Banks will be open in states such as Tripura, Tamil Nadu, Sikkim, Assam, Manipur, Arunachal Pradesh, Nagaland, Bengal, New Delhi, Goa, Bihar and Meghalaya

New India Co-op Bank customers can withdraw up to Rs 25,000 from Feb 27

RBI has barred the lender from issuing new loans and appointed an administrator

Here's why banks in Hong Kong are taking the fight to crypto bros

Developments in Hong Kong, which has finalised a regulatory regime for stablecoins, will be watched keenly in the US where such rules are still being debated, albeit in a newly favourable climate

Bank credit and deposits growth decelerate in third quarter, shows RBI data

Bank credit as well as deposits witnessed deceleration during the October-December quarter sequentially, showed Reserve Bank data released on Friday. Bank credit growth (y-o-y) decelerated to 11.8 per cent in December 2024 from 12.6 per cent in September 2024, while aggregate deposits increased at a marginally lower pace at 11 per cent as compared to 11.7 per cent growth in July-September period. Personal loans, which have large share (31.5 per cent) in total credit, recorded moderation in annual growth to 13.7 per cent (15.2 per cent a quarter ago), according to RBI's data on 'Outstanding Credit of Scheduled Commercial Banks December 2024'. Credit to agriculture and industry sectors also recorded some tempering in the growth. On the other hand, bank lending for trade, finance and professional/ other services accelerated during the third quarter of 2024-25. The data showed that lending to public sector organisations accelerated to 5.4 per cent in December 2024 as compared to 0.3

Co-Op bank embezzlement case: 3 accused remanded in EOW custody till Feb 28

Economic Offences Wing (EOW) of Mumbai Police has arrested former chief executive officer (CEO) of the New India Co-Operative Bank Abhimanyu Bhoan in a Rs 122 crore embezzlement case, an official said on Friday. This is the third arrest in the case. The bank's general manager Hitesh Mehta is accused of misappropriating a total of Rs 122 crore in cash from the bank's safe over a period of time. Bhoan had been called to record his statement on Thursday and Friday. After his role in the crime became apparent during the interrogation, he was placed under arrest late Friday night, said an EOW official. The EOW had earlier arrested Hitesh Mehta and developer Dharmesh Paun in the case. The alleged misappropriation of funds came to light following an inspection by the Reserve Bank of India.

RBI announces mega $10 billion FX swap to infuse rupee liquidity

The RBI will conduct the buy/sell swap on February 28

Bima-ASBA will eliminate unauthorised deductions: Insurance sector players

Irdai's decision to implement ASBA facility for insurance premium payment will benefit customers by eliminating unauthorised deductions and delayed refunds, say experts. Insurance Regulatory and Development Authority of India (Irdai) has directed life and health insurers to provide Bima-ASBA, a facility wherein a policyholder blocks the amount towards premium in his or her bank account which gets debited only when the policy is issued. Insurers have been asked to implement the new payment mechanism Bima-ASBA (Applications Supported by Blocked Amount) through Unified Payments Interface (UPI). ASBA facility or blocking of funds through UPI is widely used by retail investors in stock market. Commenting on the Irdai's decision, Jitendra Attra, Chief Financial Officer, SBI General Insurance said Bima-ASBA is a significant step toward enhancing transparency, security, and ease in insurance premium payments. "By enabling policyholders to authorise premium payments directly from their ban

RBI must infuse Rs 1 trillion by March to ease bank liquidity gap: Analysts

Since mid-January, the Reserve Bank of India has infused funds to counter a sharp decline in liquidity caused by its aggressive intervention in the foreign exchange market, among other factors

New India Coop Bank: Ex-GM phoned staffers to take cash out from safes

New India Coop Bank's ex-general manager, Hitesh Mehta, used to call two staffers, instructing them to hand over Rs 50 lakh at a time from the bank's safes to persons he sent, police officials have said. Mehta and real estate developer Dharmesh Paun have been in custody since Sunday in connection with the alleged embezzlement of Rs 122 crore from the bank that was uncovered following an inspection by the Reserve Bank of India. The Economic Offences Wing of the Mumbai police is probing the case. Mehta had access to the bank's safes as he was the custodian. The statements of two bank staffers have been recorded. They have said how they used to give cash to those sent by Mehta. These bank staffers, who are witnesses in the case, have said they handed Rs 50 lakh cash more than once to several persons, the official said on Thursday. The probe so far has found that a former employee of the lender wrote to RBI about the prevailing situation, he said, adding this information is being verif

RBI weighs some relief for New India Co-op Bank depositors: Report

The RBI, along with the lender's administrator, will require depositors to prove the emergency, one of the sources said

Net ECB borrowings up threefold to $15.6 billion in April-December 2024

According to Reserve Bank of India (RBI) data, gross disbursements to Indian entities through the ECB route rose to $36.6 billion in April-December 2024, up from $26.1 billion in April-December 2023

New India Co-op Bank crisis: Higher returns come with greater risk

Many cooperative banks fall prey to political interference, unreliable accounting practices, loan evergreening, and frauds

RBI halts New India Co-op Bank operations: How to secure your savings

The announcement has triggered anxiety among account holders, many of whom depend on the bank for routine financial transactions. Experts advice to staying calm and keeping an eye on RBI guidelines

HSBC to incur $1.8 bn in costs over next two years in CEO's revamp

Europe's largest bank, which has been deepening its push into Asia and some Middle East markets, reported fourth-quarter pretax profit of $2.3 billion

A stable banking system: Deposit insurance must be extended substantially

There is an ongoing debate whether India still needs cooperative banks, given the increased reach of commercial banks, enabled by technology

Banks hit by AGS may turn to others for cash management operations

AGS is the second largest ATM servicing and cash management in the country with presence across 2,200 cities and towns

RBI curbs on New India Co-op Bank: Deposit insurance offers silver lining

Customers pin hopes on Rs 5 lakh insurance payout as RBI freezes withdrawals