The Reserve Bank of India (RBI) extended the deadline for banks to finish the process of renewing agreements for existing safe deposit box holders. The deadline will be extended gradually by 31 December this year, with intermediate milestones of 50 per cent by 30 June 2023 and 75 per cent by 30 September 2023, according to a statement from the central bank.
According to the RBI, banks have been advised to make the required measures to assist the execution of the updated agreements, such as assuring the availability of stamp papers, among other things.
Furthermore, if operations in lockers have been frozen due to non-execution of an agreement by January 1, 2023, they will be unfrozen immediately, according to the central bank.
“The RBI had issued revised instructions with respect to Safe Deposit Locker/Safe Custody Article Facility that inter alia required banks to enter into revised agreements with the existing locker holders by January 1, 2023,” a statement read.
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“However, it has come to the notice of RBI that a large number of customers are yet to sign the revised agreement. In many cases, the banks are yet to inform the customers about the need to do so before the stipulated date (January 1, 2023),” the RBI said.
