Mumbai: Fearing crunch in future, banks limit cash in ATMS

Mumbai: Fearing crunch in future, banks limit cash in ATMS

Mumbai: It is almost two weeks since ATMs of several banks across the city have been running dry. There are many theories that have surfaced lately on this issue, the most prominent one is the supply cannot meet the cash demand.

However there is another chain of sequences here. While there are few banks that are unable to meet the demand, there are some banks who have decided to limit the cash filled in their machines, fearing cash crunch in the future.

Various banks like Axis, HDFC, Citi and Kotak did not have cash in their ATMs since April 1, 2017. Priyanka Nair, a working youth, said, “I tried to withdraw cash from the ATMs of these banks at Mulund (east), Mulund (west) and even Thane area but the ATMs were out of cash. The whole cash crunch scenario has been going on since April 1 but still the bank authorities have not done anything about it.”

A bank official from Canara Bank said, “There is a cash crunch even though there is a regular supply of cash. Transaction over the counter via cheques are smooth. However, the cash crunch is felt at ATM machines.”

Officials from private and public sector banks stated that few banks are facing the cash crunch and that has resulted to pressure on other banks as their customers are going to other banks to withdraw. “After our bank realised this is the case, we decided to put a limit to the cash that is filled in the ATMs. Our customers can withdraw cash over the counter smoothly,” stated an official of Punjab National Bank. This was same in the case of Axis bank and Federal Bank officials.

An official from Kotak Bank said, “The truck of the third party which usually fills in the money in the ATM has not come to our ATM at Goregaon since the last few weeks. We do not have Rs 100 notes at all since the start of April. But the senior bank officials are not bothered about it even though citizens have been complaining since a long time.”

Mohammed Omair, a working youth, said, “I tried withdrawing cash at five ATMs at Bandra (east) on Tuesday but was unable to get even Rs 2.000 note. A lot of people were trying but a large section of Bandra (east) area did not have cash in their ATMs.” Officials are unsure until when this issue will continue.

Source:URl