Deposit Insurance and Credit Guarantee Corporation (DICGC) has asked all banks to prominently display their 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. Bank deposits up to Rs 5 lakh 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 subsidiary said deposit insurance plays an important role in protecting small depositors in particular, instilling confidence in the banking system and maintaining financial stability. “With a view to increase awareness about deposit insurance in a focused and sustained manner and in consultation with RBI, it has been decided that all banks registered with DICGC shall henceforth display prominently the DICGC logo and the QR code linked to the DICGC website Will display.” on their website and internet banking portal,” it said.
It added that the display of the logo and QR code would help customers to easily identify the banks covered under the deposit insurance scheme of DICGC and facilitate timely access to information regarding deposit insurance. All insured banks have been asked to ensure compliance with the requirements from September 01, 2023. The number of registered insured banks as on March 31, 2023 was 2,027, including 140 commercial banks. These include 43 RRBs, two LABs, six PBs and 12 SFBs and 1,887 cooperative 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 of March 31, 2023 was 98.1 per cent 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 the assessable deposits of Rs 1,81,14,550 crore. At current levels, insurance cover will be 2.91 times of per capita income in 2022-23.
During 2022-23, DICGC approved supplementary claims of 11 liquidated banks totaling Rs 105.8 crore. Besides this, during 2022-23, it also settled claims of Rs 646.8 crore of 28 banks under RBI’s ‘All Inclusive Directions (AID)’. The size of the Deposit Insurance Fund (DIF) as on March 31, 2023 was Rs 1,69,263 crore.
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