Extension of bank hours on 30th and 31st of March 2015
Banks shall keep the counters open for Transactions of Central/State Governments on 30th (full day)/ 31st March 2015 (till 8 p.m) and all electronic transactions till midnight of 31st March. RBI in its circular dated 25.03.2015 instructed that all agency banks shall keep the counters of their designated branches conducting government business open for full…
Read articleRBI releases Names of Applicants of Trade Receivables Discounting System (TReDS)
The Reserve Bank of India on 25.03.2015 released the names of applicants who have applied for setting up Trade Receivables Discounting System (TReDS). These are: Sr.No. Name of the entity NSE Strategic Investment Corporation Limited (NSIC) and Small Industries Development Bank of India (SIDBI), Mumbai Trade Receivables Exchange (Group of Banking Professionals), Mumbai Axis Bank…
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New Pension System (NPS): Is it provides you peaceful retirement plan?
The ‘New Pension System (NPS)’ is a contribution-based pension scheme initiated by Government of India for the purpose of delivering income security to all citizens at their old age. According to a good number of financial advisers ‘New Pension System (NPS)’ is the most cost effective mode of retirement planning. Here we discuss the investment…
Read articleWhat is relaxed KYC norm for proprietary concerns?
In case of opening accounts of proprietorship concerns, apart from customer identification procedure as applicable to the proprietor, banks and financial institutions call for and verify the activity proof of the concern. The default rule under KYC is that any two documents, out of following documents listed in paragraph 2.5(h) of RBI Master Circular should…
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Housing Loan: New guidelines on ‘Loan to Value (LTV) ratio’ and construction linked disbursal of loan
Loan to value ratio: Banks were not permitted to include stamp duty, registration and other documentation charges towards the cost of housing property for the purpose of effective calculation of LTV ratio. RBI has now appreciated that the amount which are excluded for arriving LTV ratio forms cost of around 15% of the house. In…
RBI slashes Repo Rate by 25 basis point
RBI slashes ‘Repo rate’ by 25 basis point from immediate effect. Consequently the policy rates will be as under from 04.03.2015 Repo Rate…………………7.50% Reverse Repo Rate……6.50% Marginal Standing Facility Rate….8.50% Bank Rate………………………………….8.50% SLR…………………………….21.50% (Unchanged) CRR……………………………4% (Unchanged) RBI continues to provide liquidity under overnight repos of 0.25 percent of bank-wise NDTL at the LAF repo rate…
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