Now, as a countermeasure, Deposit Insurance and Credit Guarantee Corporation (DICGC) which is a subsidiary of the Reserve Bank of India (RBI) has insured your account up to Rs. 5 Lakhs for both the principal and interest amount on deposits/accounts held by you.
How much money is safe in a bank?
Each depositor in a bank is insured upto a maximum of ₹ 5,00,000 (Rupees Five Lakhs) for both principal and interest amount held by him in the same right and same capacity as on the date of liquidation/cancellation of bank’s licence or the date on which the scheme of amalgamation/merger/reconstruction comes into force.
How much money is protected in Indian banks?
As per DICGC rules, each depositor in a bank is insured up to Rs 5 lakh for both the principal and interest amount on depsoits held by him in that particular bank. This includes all deposits held by a person in current account, savings account, fixed deposits and so on.
What is the maximum amount of money you can have in a Indian bank account?
Thus, as cash deposits and withdrawals of Rs 10 lakh or more in a bank account in a financial year are required to be reported to the tax authorities, you need to be careful if you are exceeding the prescribed threshold. This limit is Rs 50 lakh and more in case of current accounts.
Which bank is safest in India?
|Federal Bank Ltd||4.00|
|HDFC Bank Ltd||4.00|
|ICICI Bank Ltd||4.00|
|IndusInd Bank Ltd||4.00|
Is money safe in post office?
The postal department offers many saving schemes including good interest rates on Fixed Deposits. The deposited money remains safe as the government provides security. … Government of India guarantee is given on FD in the post office.
What happens to money if bank closes?
Failure. When a bank fails, the FDIC reimburses account holders with cash from the deposit insurance fund. The FDIC insures accounts up to $250,000, per account holder, per institution. Individual Retirement Accounts are insured separately up to the same per bank, per institution limit.
Can I deposit 5 lakhs in my account?
Individuals who deposit cash above Rs. 2.5 lakh and senior citizens who deposit cash above Rs. 5 lakh may be scrutinised. … In the case of individuals without business income, deposits above the mentioned limits will be verified by the assessing officers.
How much interest will 5 lakhs earn?
On the other hand, the monthly interest for ₹5 lakh in a bank FD usually ranges from 2.9% – 5.15% per annum. If you opt for a non-cumulative, 12-month bank FD at an interest rate of 5.15%, it will fetch you ₹2,145.83 as interest on ₹5 lakh per month.
Can I deposit 10 lakhs in bank?
Cash deposits in bank accounts: CBDT has made it mandatory for a bank or a cooperative bank to report cash deposits aggregating to Rs 10 lakh or more during a financial year, in one or more accounts (other than a current account and time deposit) of a person.
Can I deposit 3 lakhs in my account?
Since there is a system of Annual Information Return being filed by banks, your cash deposit exceeding Rs. 10 Lakhs in a Savings account / exceeding Rs. … 2 lakhs is not allowed as per Section 269ST of the Income tax, which will land you in a penaly of Rs. 10 Lakhs.
Where do millionaires keep their money?
No matter how much their annual salary may be, most millionaires put their money where it will grow, usually in stocks, bonds, and other types of stable investments. Key takeaway: Millionaires put their money into places where it will grow such as mutual funds, stocks and retirement accounts.