RBI shuts National Urban Cooperative Bank Pratapgarh, registrar handling liquidation
Business
The Reserve Bank of India has pulled the plug on National Urban Cooperative Bank Ltd., Pratapgarh, after finding it in bad financial shape and not following key banking rules.
This means the bank is closing its doors for good, with the state's registrar of cooperative societies now handling its liquidation.
DICGC insures deposits up to ₹5L
RBI flagged worries about people getting their money back, since the bank couldn't repay everyone.
Thankfully, most depositors are covered by insurance (up to ₹5 lakh each) through DICGC.
Nearly ₹14.7 crore has already been paid out to those who went for early settlement, so most customers should be getting their savings back without much hassle.