New Delhi: Even today many people are confused about depositing money in the bank or keeping the amount in the account. Many people think that keeping more money in the bank can cause problems. There is often doubt in the minds of people especially about keeping more than 5 lakh deposits. Let us know what the rules of the bank say regarding deposits.
Why the confusion about 5 lakhs?
Many people think that more than five lakh rupees should not be deposited in the bank, while there is no such rule. The rules say that in the event of the bank going bankrupt or insolvent, the security of up to five lakh rupees is guaranteed. That is, if the bank sinks or becomes insolvent, then the government will give you five lakh rupees. Perhaps for this reason people think that not more than 5 lakh rupees should be kept in the bank.
DICGC is responsible for payment
The government does not allow the bank in trouble to drown and merges it into a bigger bank. DICGC is responsible for making payments to all account holders if a bank goes down. DICGC charges a premium in return from the banks to guarantee this amount.
How much money can I deposit?
You can keep as much money as you want in your bank account. However, you should have solid proof of the source of income, that is, when asked by the Income Tax Department, you will have to tell where the money came from. If you pay tax according to the rules, if you have correct proof of income then there will be no problem.
It can be difficult in this case
If you have more money in your bank account and you are not able to prove the source of that money in front of Income Tax, then problems can arise. Your bank account can be frozen, in which case you can be prosecuted.
Profit and loss should be taken care of
Along with this, before keeping more money in the savings account, one should definitely take care of the profit and loss because the interest on the deposit is less. That’s why many people believe that instead of keeping more money in the savings account, make a fixed deposit or invest this money in a mutual fund, it will get more interest.
