Yes Bank crisis: If banks are not safe, what is, say worried depositors

Yes Bank account holders wake up Friday morning to find themselves in PMC depositors' shoes, not convinced by RBI's word that moratorium to last only till April 3

Citizens still waiting for the PMC Bank crisis to blow over, are now facing news of Yes Bank in dire straits. Familiar scenes of worried citizens outside the bank's branches played out across the city on Friday. Although RBI fixed the withdrawal limit to R50,000 till April 3, depositors were worried about the fate of their savings.

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Depositors at Yes Bank have been permitted to withdraw cash only up to Rs 50,000 from their accounts during the moratorium period. The withdrawal limit can be relaxed to Rs 5 lakh in cases of higher education expenses, weddings, and for medical emergencies.

Sachin Sathawara, a garment shop owner, visited the bank in Khar only to find that there was no cash. "The banks should have made appropriate arrangements. This crowd is only adding to the panic, especially when ATMs and internet banking services are not functioning," said Sathawara.

Another customer, Pamchan Pradhan, a travel company employee, waited at the Bandra East branch for more than four hours on Friday to withdraw cash. "Our company has its account here. The office has decided to withdraw all the money eventually. With the current conditions, the company prefers to not take any chances," Pradhan said. Another bank customer, Faisal Hussain, too, shared similar views. "My uncle has spent the entire day at the bank to withdraw cash. We both plan to take turns every day to withdraw money. We have a number of mobile shops and cannot afford to lose money," Hussain said.

Customers await their turn to withdraw the maximum Rs 50,000 allowed at Yes Bank

Sangita Reddy, who reached the bank at 4.30 pm to withdraw money, was asked to return the next day. "I will have to take the day off to withdraw money. They should extend working hours during a crisis, especially when even ATMs are not functioning," said Reddy.

'Banks are not safe anymore'

Shaikh Saddam Hussain, who owns a licence and document registration shop outside Andheri RTO, said he had no idea about the moratorium imposed on Yes Bank until Friday afternoon. "My entire business has collapsed since yesterday as we are unable to process any online payments. I am also pursuing my civil engineering and had saved Rs 4.5 lakh for my education," he said.

"I haven't been able to withdraw a single rupee today. They are asking us to wait till April 3 after which they claim things will stabilise but the question is what do I do till then? I have a family to take care of," he said, adding, "Banks are not safe anymore. If you keep cash with you, it will be termed black money and if it's in the banks, it is dangerous."

Depositors also lined up outside the Mulund West branch along LBS Road to withdraw their money. "The bank had good infrastructure but the staff interaction was not always pleasant," a depositor said. Two SBI credit card salesmen in uniform were also at the branch. "I had opened an account here many years ago and now it has become problematic," one of them said.

The Mulund police had also posted a few constables here to avoid any ruckus. The situation at Mulund West, Mehul Circle was similar.

April 3
Day up to which the RBI moratorium on Yes Bank will be in place

'Have to take day off'

Sangita Reddy, Bandra

'I will have to take the day off to withdraw money. They should extend working hours during a crisis, especially when even ATMs are not functioning'

Sachin Sathawara, Shop owner, branch in Khar

'The banks should have made appropriate arrangements. This crowd is only adding to the panic, especially when ATMs and internet banking services are not functioning'

Faisal Husaain, At Bandra East branch

'My uncle has spent the entire day at the bank to withdraw cash. We both plan to take turns every day to withdraw money. We have a number of mobile shops and cannot afford to lose money'

Pamchan Pradhan, Travel company staffer, Bandra E

'Our company has its account here. The office has decided to withdraw all the money. With the current conditions, the company prefers to not take any chances'

Rs 50k
Amount RBI has currently allowed depositors to withdraw

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