Bank Insurance 5 Lakh. The amount has to be refunded to the depositor within 90 days. Every bank used to pay 10 paise as an insurance premium per rs 100 of deposit.
It was raised to 12 paise. Union finance minister nirmala sitharaman in her budget speech 2020 has proposed to hike the bank deposit insurance in scheduled commercial banks to rs 5 lakh per depositor from the current rs 1 lakh. In a path breaking reform, bank deposit insurance cover was enhanced from rs.
Rs 5 lakh insurance on bank deposits: Deposit cover of rs 5 lakh is per bank and not per individual with deposit insurance coverage of rs. The amount has to be refunded to the depositor within 90 days.
Before the amendment, the insurance cover on bank deposits was fixed at inr 1 lakh if a bank faces liquidation. It was raised to 12 paise. 5 lakh per depositor per bank, the number of fully protected accounts at end of previous financial year constituted 98.1% of the total number of.
In a path breaking reform, bank deposit insurance cover was enhanced from rs. It was raised to 12 paise. In the budget 2020, finance minister made an announcement regarding the rise in bank deposits insurance cover to rs.5 lakh from rs.1 lakh with a view of providing greater measure of protection to the depositors.
At present, bank depositors get an insurance cover of rs 1 lakh on their amount by the deposit insurance and credit guarantee corporation if a bank fails. The proposed legislation provides insurance to all bank deposits and covers all commercial. Deposit cover of rs 5 lakh is per bank and not per individual with deposit insurance coverage of rs.
In a path breaking reform, bank deposit insurance cover was enhanced from rs. It was raised to 12 paise per rs 100 in 2020. It took nearly 10 years.
