Deposit Insurance and Credit Guarantee Corporation (DICGC) has asked all banks to prominently display its logo and QR code on their websites and internet banking portals by August 31 with a view to create awareness about the deposit insurance scheme. Deposits up to Rs 5 lakh in banks are insured by the DICGC. The scheme covers deposits in commercial banks, local area banks (LABs), payments banks (PBs), small finance banks (SFBs), regional rural banks (RRBs), and co-operative banks.
In a circular, the Reserve Bank’s subsidiary said deposit insurance plays an important role in protecting especially the small depositors, instill confidence in the banking system and maintain financial stability. “With a view to enhance the awareness about deposit insurance in a focused and sustained manner and in consultation with the RBI, it has been decided that all banks registered with DICGC shall henceforth display the logo of DICGC and QR code linked to the DICGC website prominently on their website and internet banking portal,” it said.
The display of logo and QR code, it added, will enable customers to easily identify banks covered by the deposit insurance scheme of DICGC and facilitate timely access to information on deposit insurance. All insured banks have been asked to ensure compliance to the requirements with effect from September 01, 2023. The number of registered insured banks as on March 31, 2023 stood at 2,027, comprising 140 commercial banks. These include, 43 RRBs, two LABs, six PBs and 12 SFBs and 1,887 co-operative banks.
According to the RBI, with the current limit of deposit insurance in India at Rs 5 lakh per depositor of a bank, the number of fully protected accounts (294.5 crore) as on March 31, 2023 constituted 98.1 percent of the total number of accounts (300.1 crore). In terms of amount, the total insured deposits of Rs 83,89,470 crore as on March 31, 2023 constituted 46.3 per cent of assessable deposits of Rs 1,81,14,550 crore. At the current level, insurance cover would be 2.91 times of per capita income in 2022-23.
During 2022-23, the DICGC sanctioned supplementary claims of 11 liquidated banks aggregating Rs 105.8 crore. Besides, during 2022-23, it also settled claims in respect of 28 banks under ‘All Inclusive Directions (AIDs)’ of RBI Rs 646.8 crore. The size of the Deposit Insurance Fund (DIF) stood at Rs 1,69,263 crore as on March 31, 2023.
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