PMC bank was put under restrictions this week, by RBI, because of its huge NPAs. Many other banks also have significant NPAs. Other banks can also face similar restrictions. So what should a typical depositor do in India?
- Keep maximum Rs 1 lakh in one bank.
- If you have 3 lakhs, then open account in 3 banks and keep 1 lakh in each.
- Keep enough cash with yourself for a few weeks in event of some bank closure.
- Do not keep many lakhs of rupees in savings accounts of banks. Keep the remaining in Gold or silver. These precious metals have been money for many centuries.
- If your society or business needs to keep crores of rupees in current account of bank, then use the biggest bank you can find e.g. HDFC, SBI, etc.
