Page 5 - Banking Finance January 2020

BANK UPDATE

BANKING

NEWS
NEWS
NEWS
NEWS
NEWS

SBI to withdraw mag- Fin Min allows 78% of PMC Bank depositors to with-

netic strip credit/debit draw entire cash
cards from Jan 1 The Union Finance Minister Nirmala Sitharaman said in Lok Sabha that around
78% depositors of the scam-hit PMC Bank can withdraw
SBI will discontinue its old magnetic
their entire deposits even though the ceiling of Rs 50,000
strip-based on withdrawal continues.
credit and
Sitharaman also said that in case of medical emergencies,
debit cards
marriages and other crisis situations, a depositor of the
from January
1. Through a Maharashtra-based PMC Bank can withdraw upto Rs 1 lakh by invoking the 'hard-
tweet, the SBI said that it has pro- ship provisions' of the RBI. "Nearly 78 depositors are now allowed to withdraw
posed to deactivate all old magnetic their entire account balance. They are small depositors. With this, the concerns
strip-based cards by December 31, of all small depositors are take care of," she said during Question Hour.
2019, irrespective of the card's valid- Citibank increases interest rate on credit card
ity period. As per RBI guidelines, the
Citibank India has increased the interest rate on credit card outstandings by up
SBI has replaced all old magnetic
strip-based ATM-cum-debit and credit to 480 basis points from 37.2% to 42% per annum.“We
wanted to inform you that the interest rate on your Citi
cards of its customers with EMV chip
and PIN-based hi-security cards. credit cards would change effective January 2020 state-
ment and will be applicable on opening balance and fur-
"Apply now to change your Magnetic ther transactions including cash withdrawals,” the bank
Stripe Debit Cards to the more se- said in a communiation to its customers. “As you know only if customers choose
cure EMV Chip and PIN-based SBI to pay less than the full amount of the monthly bill or does cash withdrawal
Debit card at your home branch by transactions, interest rate for using the revolving facility applies,” it said.
31st December 2019. Safeguard
yourself with guaranteed authentic- Karnataka Bank introduces KBL Xpress Car Loan
ity, greater security for online pay-
ments and added security against Karnataka Bank as part of its digital initiative on 13 December 2019 has launches
fraud,'' the bank said in a tweet KBL Xpress Car Loan, a digitized version of Car Loan Finance. Introduction of
KBL Xpress Car Loan allows in-principle sanctions under 20 minutes at custom-
The SBI has also urged its customers ers choice of place and time. This technology enabled solution has additional
and cardholders to replace the old digital capabilities to provide end-to-end best in class customer experience.
magnetic strip-based credit and Customers KYC authentication, Bureau score , Income , Risk assessment etc will
debit cards with high-security EMV be performed on real time basis which enables a hassle free and complete digi-
Chip-based cards.
tal loan sanction.

BANKING FINANCE | JANUARY | 2020 | 5