insures principal and interest up to a maximum amount of Rs 5 lakhs. All commercial banks including branches
of foreign banks functioning in India, local area banks and regional rural
banks are insured by the DICGC.
For example: If an
individual had an account with a principal amount of 4,95,000 plus accrued
interest of 4,000, the total amount insured by the DICGC would be 4,99,000. If,
however, the principal amount in that account was five lakhs, the accrued interest
would not be insured, not because it was interest but because that was the
amount over the insurance limit.
Locker facility is one of the ancillary services provided by our Bank to
Lockers Branches are
equipped with high security features and specially built strong rooms.
of lockers in various sizes and at various locations.
hours for accessing lockers.
facility is available to anyone hiring a locker.
3. Bank Guarantee
issue Bank Guarantee u/s 126 of the Indian Contract Act’ 1873.
financial guarantee in lieu of earnest money or security money for principal
debtor’s participation in tenders, claim of excise, custom duty etc. is
Bank issues Bank Guarantee for a maximum period of 12 months. However, in
exceptional cases Bank Guarantee is issued for a period beyond 12 months
depending upon the past records of the applicant.
Upto Rs. 5.00 crore – commission is realized @ 2.75% p.a. + Rs. 250.00 as
Guarantee less than one year minimum commission for one year is taken.
Guarantee is tendered for cancellation before the date of expiry, an amount
computed at half the original rate for the unexpired period (less than 3
months grace period) is refunded.
commission is refundable if Guarantee is released after fulfillment of its
conditions in a period shorter than that covered by guarantee.