ATMs go out of cash in Guntur

Guntur: Majority of ATMs in the district ran out of cash causing severe inconvenience to customers. Though the district has 870 ATMs, 80 per cent of are not dispensing cash. Some banks are keeping no cash boards at their ATMs. 

ATMs are going out of cash due to cash shortage as Reserve Bank of India is not supplying sufficient cash. A senior officer in Andhra  Bank on the condition of the anonymity said since the Central government has taken steps to introduce Financial Resolution and Deposit Insurance Bill-2017 in the Parliament,  depositors having more than one lakh are worrying about safety to their deposits and slowly withdrawing their deposits. 

Similarly, we are not getting new deposits as earlier, which led to falling of cash in the banks. At the same time, rich persons are not depositing Rs 2,000, Rs 500 notes as earlier. 

“We are adjusting available cash to small depositors to meet their needs and customers. Bank deposits also fallen by 7 per cent,” he said. Guntur District Lead Bank manager M Sudarsana Rao said “Cash circulation has been falling for last three months.

We are adjusting available cash. Depositors are worrying about Financial Resolution and Deposit Insurance Bill-2017 and withdrawing their deposits, which led to the crisis. Due to reduction of cash supply, ATMs went out of cash.

We are expecting Financial Resolution and Deposit Insurance Bill-2017 is passed in the Parliament, deposits are expected to increase. At present depositors are having insurance to their deposits upto Rs 1 lakh, if the new Bill is passed depositors will get insurance upto Rs 10-lakh deposit.”