bank customers There is good news for. The government has made a major change in the rules for making nominee in a bank account. The Banking Laws (Amendment) Bill, 2024, passed in the Lok Sabha on Tuesday, has allowed bank account holders to make 4 nominees in the account. This bill, introduced by Finance Minister Nirmala Sitharaman, was approved by the lower house of Parliament by voice vote. Responding to the discussion on the bill, Sitharaman said that depositors will have the option to nominate all 4, one after the other or at the same time.
Only one option for customers with locker
Whereas customers availing locker facility will have the option of gradual enrollment only. That means they will be able to make nominees sequentially, one after the other. He also said that since 2014, the government and the RBI have been extremely cautious in keeping the banks stable. Sitharaman said that our aim is to keep our banks safe, stable and healthy and after 10 years you are seeing the result. The Bill proposes to increase the tenure of directors (except chairman and whole-time directors) in co-operative banks from eight years to 10 years. This amendment has been made to conform to the Constitution (97th Amendment) Act, 2011.
No consideration on merger of government banks
Minister of State for Finance Pankaj Chaudhary said on Tuesday that the government is not considering the merger of public sector banks. In a written reply to a question in the Rajya Sabha, he said that the government has taken several steps to strengthen the financial position of public sector banks (PSBs). Chaudhary said the reforms undertaken by the government in the banking sector have led to systemic improvements and put in place checks and controls to reduce the risk of extreme stress situations reoccurring. Asked whether merger of public sector banks was being considered, Choudhary said no consideration was being given to it. The government had announced four major mergers of public sector banks in August 2019. Due to this, their total number reduced from 27 to 12 in the year 2017.
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