As per clause (iv) of Section 193 of the Income Tax Act, 1961, no tax shall be deducted from any interest payable on any security of the Central Government or a State Government effective from June 1, 1997. However, as per Finance Act, 2007 and Government of India Notification No. F.4(10)-W&M/2003 dated May 31, 2007, tax has to be deducted at source on the interest exceeding Rupees ten thousand payable during a financial year on 8% Savings (Taxable) Bonds, 2003 with effect from June 1, 2007.

At the time of making applications, the Promoters/Promoter Group will have to furnish a road map and methodologies they would adopt to comply with all the requirements of the corporate structure indicated in para 2 (C)(ii) and (iii) of the guidelines and realign the business between the entities to be held under the NOFHC [para 2(C)(iv) of the guidelines] within a period of 18 months. After the ‘in-principle approval’ is accorded by RBI for setting up of the bank, the actual setting up of NOFHC and the bank, re-organization of the Promoter Group entities to bring the regulated financial services entities under the NOFHC as well as realignment of business among the entities under the NOFHC have to be completed within a period of 18 months from the date of in-principle approval or before commencement of banking business, whichever is earlier.

Payment can be made through cash (upto ₹ 20000)/cheques/demand draft/electronic fund transfer.

Ans. Payment of cheque/ draft/ pay order/ banker’s cheque, if presented beyond the period of three months from the date of issuance of such instrument, shall not be made by RE.

Yes, the RB-IOS, 2021 provides for an appellate mechanism for the complainant as well as the RE for complaints closed under appealable Clauses of the Scheme. Any person aggrieved by an Award (except the RE in respect of Awards issued for non-furnishing of appropriate and satisfactory information within the stipulated time) or rejection of a complaint under an appealable clause, i.e. Sub-clauses (c) to (f) of Clause 16(2) of the Scheme, can file an appeal before the Appellate Authority in RBI, within 30 days of the date of receipt of communication of the Award (or acceptance of the award by the complainant¹ in case of RE) or rejection of the complaint.

The powers of Appellate Authority are vested with the Executive Director-in-charge of Department of RBI implementing the Scheme. The address of the Appellate Authority is:

The Appellate Authority
Reserve Bank - Integrated Ombudsman Scheme, 2021
Consumer Education and Protection Department
Reserve Bank of India
First Floor, Amar Building, Fort, Mumbai 400 001.

An appeal can be filed through the CMS Portal (https://cms.rbi.org.in) for a closed complaint. Alternatively, the appeal can also be sent vide e-mail at aaos@rbi.org.in.

Further, if the complainant is not satisfied with the resolution provided by the Ombudsman, he/she is at liberty to explore other recourses and/or remedies available, as per law.

उत्तर. होय. पीपीआय जारीकर्ता सोलो पद्धतीने पीपीआयजचा उपयोग करू शकते किंवा इतर संस्थेसोबत को-ब्रँडेड पद्धतीने उपयोग करू शकतील.

Ans. Under the PSS Act, 2007, dishonour of an electronic fund transfer instruction due to insufficiency of funds in the account etc., is an offence punishable with imprisonment or with fine or both, similar to the dishonour of a cheque under the Negotiable Instruments Act 1881. Subject to complying with the procedures laid down under the PSS Act, 2007, criminal prosecution of defaulter can be initiated in such cases. This provision was introduced to discourage dishonour of electronic payment instructions. (Section 25 of the Act)

Resident individuals can avail of the remittance facility under the Scheme once in a calendar year.

The bank or the PD can build this cost into the sale price or it can recover separately from the clients.

No. Charging a rate of interest below prevailing PLR where a bank has not contracted a fixed rate loan, to any borrower at any time would be deemed as violation of our directives. It would not be in order to provide rebate resulting into actual interest rates charged to any borrower working out lower than the PLR. However, there is no objection to allowing a rebate, as long as the effective interest rate is not below the PLR. The spirit behind the advice to banks to declare PLR with the approval of their ALCO/Board is to make it applicable uniformly at all branches and to impart transparency in the matter of lending rates.