Amid the ongoing difficulties of cash crunch being faced in various states of India, the country's biggest lender, State Bank of India (SBI) has come up with an alternate and convenient method of cash withdrawal for its customers.
Amid the ongoing difficulties of cash crunch being faced in various states of India, the country’s biggest lender, State Bank of India (SBI) has come up with an alternate and convenient method of cash withdrawal for its customers. The bank has said that it is now providing facilities of cash through ‘Cash@POS’ initiative. Under this, the debit card holders of SBI and all other banks can withdraw cash from PoS machines installed by SBI across various merchant locations.
The bank has said that a customer can withdraw Rs 1000 in Tier I and Tier II cities whereas Rs 2000 can be withdrawn in Tier 3 to Tier 6 cities per day per card. Presently, the bank will not be charging any fees for these withdrawals. SBI has a total of 6.08 lakh PoS machines of which 4.78 lakh PoS machines are enabled to dispense cash to the customers of SBI and the banks who have enabled this facility for their customers.
PoS or point of sale machines look like cash registers and perform many of the same functions. However, they can also process check payments, discounts and special offers and other customer transactions. To complete a transaction using the PoS terminal, a customer needs to enter a card PIN.
Earlier, SBI Chairman Rajnish Kumar had said that the problem of cash crunch will soon be resolved. Kumar had said that there are certain areas where there is a problem with the running of ATMs and availability of cash of particular denomination.
“It is not a uniform cash crunch problem. It is there in geographies like Telangana and Bihar. We are hoping that the problem will be resolved by tomorrow because cash is in transition and it is reaching these states by today evening,” Kumar had said.
The finance ministry, meanwhile, had stated that there was an unusual spurt in demand in some parts of the country like Andhra Pradesh, Telangana, Karnataka, MP and Bihar. In the first 13 days of the current month, the currency demand went up by Rs 45,000 crore.
Kumar had said that the money should be recycled, meaning that if people withdraw money from the bank and the money needs to be deposited back as well.
“If we (people) hold everything, then whatever supply we (banks) do, it will be insufficient for the country. So it is important that the currency is also recycled,” he had said.
On Wednesday, SBI had claimed that the situation is fast-improving. “Availability of cash in SBI ATM has improved in the last 24 hours. Efforts are being made on a continuous basis to improve the cash availability further in a few geographies. Overall issue of less cash should come to normalcy within soonest possible time, ” said Neeraj Vyas, DMD (Chief Operating Officer), SBI.