5 new rules of RBI: The Reserve Bank of India (RBI) has announced some new rules and changes to be implemented from November 2024. These rules will be applicable to account holders of all banks, including big banks like SBI, PNB, HDFC. The main objective of these rules is to make the banking system more secure, transparent and customer-centric.
These new rules will bring many changes for bank account holders. Some rules will be convenient for the customers, while some rules will require some effort to follow. Let us know about these new rules and changes in detail.
RBI’s new rules and changes: at a glance
| Rule | Description |
| KYC updation | It is mandatory to update KYC every 2 years |
| digital transactions | Two-factor authentication for added security |
| cash transaction | PAN mandatory for transactions above Rs 50,000 |
| money transfer | New guidelines implemented, more information will have to be given |
| locker rules | Change in locker rent, new security system |
| ATM transaction | Reduction in the number of free transactions |
| Cheque Book | Launch of digital check book |
| customer service | 24×7 digital assistance mandatory |
1. New rules for KYC updation
RBI has made it mandatory for all bank account holders to update their KYC (Know Your Customer) every two years. The main reason behind this is to prevent fraud and money laundering.
Important points:
- KYC has to be updated every 2 years
- KYC can be updated online or by visiting the bank branch.
- Account may be frozen if KYC is not updated
- Documents like Aadhaar, PAN, Passport will be accepted
Banks will inform their customers through SMS and email for KYC updation. Customers should update KYC on time so that there is no interruption in their banking services.
2. New security measures for digital transactions
RBI has made new rules to make digital transactions more secure. Now two-factor authentication will be mandatory for all digital transactions.
Major changes:
- Two-tier authentication for UPI, Net Banking, Mobile Banking
- Use of biometric or PIN with OTP
- Additional security for transactions above Rs 10,000
- 24×7 helpline for reporting fraud
These new rules will make digital transactions more secure. However, customers may have to take some additional time to complete the transaction.
3. New restrictions on cash transactions
RBI has made new rules to keep track of large cash transactions. Now it will be mandatory to provide PAN card for all cash transactions above Rs 50,000.
Main rules:
- PAN mandatory for deposits or withdrawals above Rs 50,000
- Special monitoring on transactions of more than Rs 10 lakh in a day
- Reduction in cash transaction limit
- Ban on cash transactions for those without accounts
The objective of these rules is to curb black money and prevent tax evasion. Customers should keep PAN card with them so that there is no problem in big transactions.
4. New guidelines for money transfer
RBI has issued new guidelines for Domestic Money Transfer (DMT). The purpose of these rules is to make money transfers more transparent and secure.
Major changes:
- It is mandatory to provide the name and address of the recipient.
- Mobile number verification required
- Additional authentication for every transaction
- Sender information must be included in IMPS/NEFT
- Unique identifier for cash-based remittances
These new rules will come into effect from 1 November 2024. These may make the process of money transfer a bit complicated, but it will help in preventing fraud.
5. New rules of bank locker
RBI has also made changes in the rules of bank locker. The purpose of these rules is to make the locker service more secure and transparent.
New rules:
- change in locker rent
- New security system implemented
- Insurance mandatory for locker
- Change in nomination facility
- Change in rules for opening locker
change in locker rent
Various banks have made changes in their locker rents. The table below shows the new fares of some major banks:
| bank | small locker | medium locker | big locker |
| SBI | 2000-3000 | 4000-5000 | 8000-12000 |
| HDFC | 3000-4000 | 5000-7000 | 10000-15000 |
| ICICI | 3500-4500 | 6000-8000 | 12000-18000 |
| pnb | 2500-3500 | 4500-6500 | 9000-13000 |
(Note: Rent is in Rs per annum and may vary as per location)
new security system
- It is mandatory to install CCTV cameras
- biometric access control
- Fire Alarm and Sprinkler System
- 24×7 security guard
locker insurance
Now it will be mandatory for banks to provide insurance for lockers. This will ensure the safety of valuable items of the customers.
nomination facility
- New rules for joint account
- Facility of access to locker to the nominee
- Simplification in the process of changing nomination
rules for opening locker
- Two witnesses are mandatory to open the locker
- Video recording of locker opening
- It is mandatory to keep details of the contents of the locker.
With these new rules the locker service will become more secure. Customers should follow these rules so that their valuables remain safe.
Other important changes
ATM transaction
- Reduction in the number of free transactions
- Increase in fees on additional transactions
- ATM security improvements
Cheque Book
- Launch of digital check book
- Deadline for replacement of old check book
- New rules on check bounce
customer service
- 24×7 digital assistance mandatory
- Improvement in grievance redressal system
- Increased importance of customer feedback
Disclaimer
This article is for informational purposes only. Although efforts have been made to keep the information in this article accurate and up to date, it is possible that some terms or information may have changed over time. Therefore, make sure to consult your bank or financial advisor before taking any financial decisions.
