Deposit Insurance on Bank Deposits set to be hiked to 8-12 lakhs from the existing 5 lakhs. Announcement likely in Feb end.

[am11]

Good news for the general public who depend on bank deposits for savings and emergency funds.
Centre is set to significantly raise insurance cover for bank deposits to Rs 8-12 lakh from current Rs 5 lakh by the end of the month.
The proposal is in the final stages and announcement is likely soon.

 

[paxauquabriba-4876]

good news but that also means rates going to be much lower as risk has now lowered.

only funds above 8~12lacs will command higher rates for customers

regardless for layman its peace of mind for those who live by maths.

 

[am11]

good news but that also means rates going to be much lower as risk has now lowered.

only funds above 8~12lacs will command higher rates for customers

regardless for layman its peace of mind for those who live by maths.

Maybe, but Banks are already under pressure to ensure their deposits don't go down with the rise in popularity of other attractive investment options. Hence banks may think twice before decreasing the rates too much. Unless the taxation capital gains increases significantly reducing the attractiveness of other investment options.

 

[messypenguin]

Good news for the general public who depend on bank deposits for savings and emergency funds.
Centre is set to significantly raise insurance cover for bank deposits to Rs 8-12 lakh from current Rs 5 lakh by the end of the month.
The proposal is in the final stages and announcement is likely soon.

Very good news if true particularly for senior citizens and retirees who mainly depend on fd based income. Hoping for the best.