Banking: Do you want 100% security on bank deposits? Then note this thing...Banks themselves will never tell you..

Nowadays, most people have an account in a bank. All kinds of transactions are done through that account. Many people also get FD etc. done in the bank. Most people believe that the money deposited in the bank is completely safe. But is it so? What will happen to your money if the bank in which you deposited money sinks or goes bankrupt? Will the bank return your entire deposit? People are not aware of this and neither do the banks themselves tell anything. Know what are the rules regarding bank deposits and what should be done to keep your deposited capital 100% safe.

Only this much amount is guaranteed.

If the bank defaults in any condition, then only the deposit of up to Rs 5 lakh of the investors remains safe. If the bank has more money than this, then it will sink. The reason for this is that the Deposit Insurance and Credit Guarantee Corporation (DICGC) gives insurance guarantee of only up to Rs 5,00,000 on bank deposits. DICGC is a company wholly owned by the Reserve Bank.

DICGC insures the banks of the country. The amount of this insurance is not taken from the customer. The premium for this is deposited by the bank where the customer has deposited the money. However, this premium is quite low. Let us tell you that earlier under this Act, an amount of up to Rs 1 lakh was given in case of bank sinking or bankruptcy, but then the government increased it to 5 lakhs. Foreign banks which have branches in India also come under its purview.

How will you get a 100 percent guarantee of security?

If you want to keep a large capital in the bank, then instead of keeping your entire savings in one bank, you should deposit it in many banks little by little. By this, you can reduce the risk of your investment to a great extent. Before keeping money in different banks, you have to ensure that you keep only Rs. 5 lahks or less in any bank because if any crisis looms over your investment, then up to Rs. 5 lahks will be covered through insurance.

In which banks will the scheme be applicable?

All commercial banks of India (foreign banks, rural banks, cooperative banks) get a guarantee of Rs. 5 lakh insurance on the amount deposited. However cooperative societies are out of this scope. Keep in mind that DICGC insurance covers both the principal amount and interest of savings accounts as well as fixed deposits, recurring deposits, and current accounts. This will include both principal and interest. This means that the amount deposited in the bank's savings account, FD, RD, or any other scheme, all the deposits and their interest are added. After this, a maximum amount of Rs. 5 lakh is given under insurance.

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