Money & Banking
Cashless cost unchanged while cost of cash transactions gone up: Survey
The slogan of ‘Going Cashless’ has been in front of our eyes continuously for the last five months. However, per citizens, the cost of cashless transaction continues to be the same as pre-demonetisation at 1-2% for debit card and 2-4% for credit card transactions. These charges, charged by banks, payment processors to merchants lead to merchants demanding cash from consumers. Citizens currently feel squeezed because while the cost of cashless has not reduced and the cost of cash transactions and availability of cash has reduced, says a survey conducted by citizen engagement platform LocalCircles.
 
 
A few months ago, various banks have introduced cash transaction charges where charges of as high as Rs150 per transaction have been imposed on more than four cash transactions (withdrawl or deposit) in a month. Also, charges for ATM usage after a certain number of withdrawals have been reintroduced leading to disincentivising cash transactions. 
 
In a poll conducted by LocalCircles, 56% citizens said that they do not support the charges imposed by banks on cash withdrawal or deposits and wanted the charges to be rolled back immidiately. Surprisingly, 14% citizens said that they will support the charges but only once the cost of cashless transactions reduce. More than 11,000 people voted on this poll.
 
Acting on the consumer pulse, LocalCircles conducted a parallel poll and asked the citizens if the charges on credit card usage should be capped at 0.5% and the charges on debit card purchases should be brought down to zero. Out of the 8,900 odd citizens who voted, an over whelming 96% voted in its favour.
 
 
Acting on the consumer pulse, LocalCircles conducted a parallel poll and asked the citizens if the charges on credit card usage should be capped at 0.5% and the charges on debit card purchases should be brought down to zero. Out of the 8,900 odd citizens who voted, an over whelming 96% voted in its favour.
 
“We could conclude by saying that for India to become a successful cashless economy, the cost of cashless and digital transactions will have to be significantly brought down from the current levels. Till that happens, the cost of cash transactions must not be increased,” LocalCircles says.
 
Separately, in other Survey, the citizen engagement platform found that 43% citizens who visited an automated teller machine (ATM) between 13th and 16 April 2017 could not find cash. 
 
 
LocalCircles says, 43% citizens told it that they could not find cash in ATMs between 13th and 16 April 2017. “This number has worsened from the 36% who had faced problems in finding a cash dispensing ATM between 5th and 8 April 2017. Over 8,700 citizens from across India participated in this poll sharing ATM experiences in their areas.
 
 
LocalCircles also conducted a citizen pulse check in 11 cities across India to find out that Hyderabad was worst hit with ATM outages followed by Pune. 83% citizens in Hyderabad and 69% citizens in Pune said that they were unable to find cash dispensing ATMs between April 5 – April 8. Delhi recorded the highest availability of cash dispensing ATMs with only 11% citizens unable to find money in the ATMs during the mentioned days.
 
 
You can also sign on online petition requesting RBI Governor to Stop Banks Fleecing us Depositors! Here is the link
 

User

COMMENTS

Parimal Shah

1 week ago

I think the government is crowd-funding for the bank NPAs.

Vijay Mallya arrested; gets bail
Liquor baron Vijay Mallya, wanted in India for defaulting on bank loans, was arrested in London on Tuesday. Mallya was taken into custody by Scotland Yard and could have been extradited to India. British authorities have informed the Central Bureau of Investigation (CBI) about the arrest, say news reports. However, within few hours after the arrest a local court granted him bail. After securing bail, Mallya tweeted, “Usual Indian media hype. Extradition hearing in the Court started today as expected.”
 
 
A Metropolitan Police statement from London said officers from the Extradition Unit arrested Mallya on an extradition warrant from India. "Mallya was arrested on behalf of the Indian authorities in relation to accusations of fraud," the statement said. 
 
The Westminster Magistrates' Court later gave him bail on a 650,000 pound bond. The next hearing of the case will be on 17th May.
 
Mallya fled to Britain in March 2016 after being pursued in courts by Indian banks seeking to recover Rs8,191 crore owed by his now defunct Kingfisher Airline.
 
The banks had been able to recover only Rs155 crore. Despite multiple injunctions, Mallya failed to appear before investigators -- and then flew out of India.
 
Earlier in February, India had handed over the request for extradition of Mallya as received from the CBI to the UK High Commission in New Delhi so that the liquor baron can face trial here.
 
Last week the Chief Metropolitan Magistrate from Delhi had issued an open-ended non-bailable warrant (NBW) against Mallya in case of alleged violation of foreign exchange rules. 
 
The Delhi Court was hearing final arguments in the 2000 case related to alleged violation by Mallya of the erstwhile Foreign Exchange Regulation Act (FERA) provision in arranging funds to advertise his company's liquor products abroad. On 4th October last year, the Enforcement Directorate had told the Court that Mallya can obtain emergency travel documents to return to India and face the FERA violation case.
 
Earlier in January 2017, market regulator Securities and Exchange Board of India (SEBI), had barred Mallya and six officials of United Spirits Ltd (USL) from trading in the securities market. They were "restrained from accessing the securities market and prohibited from buying, selling or otherwise dealing in securities in any manner whatsoever, either directly or indirectly" by SEBI.
 
In January this year, the Debt Recovery Tribunal (DRT) had ordered attachment and recovery of Mallya's properties for defaulting on bank loans by his defunct Kingfisher Airlines Ltd.
 
The Bengaluru bench of the Tribunal had said properties of Mallya and Kingfisher worth Rs6,203 crore plus interest at 11.5% from 26 July 2013 can be recovered by a consortium of banks led by State Bank of India (SBI).
 
"The Tribunal has allowed our petitions against Mallya's Kingfisher and issued an order to attach their properties for recovering the amount (Rs6,203 crore) with interest," counsel for the consortium had told reporters.
 

User

COMMENTS

K V RAO

2 weeks ago

Legal clauses always protect offenders. Legal profession will always thrive thanks to very liberal bail clauses. Still Mallya comes under English jurisdiction. It is not known when Mallya can be extradited. In the mean time banks should arrange to auction properties &recover dues.

K V RAO

2 weeks ago

Legal clauses always protect offenders. Legal profession will always thrive thanks to very liberal bail clauses. Still Mallya comes under English jurisdiction. It is not known when Mallya can be extradited. In the mean time banks should arrange to auction properties &recover dues.

K V RAO

2 weeks ago

Legal clauses always protect offenders. Legal profession will always thrive thanks to very liberal bail clauses. Still Mallya comes under English jurisdiction. It is not known when Mallya can be extradited. In the mean time banks should arrange to auction properties &recover dues.

SuchindranathAiyerS

2 weeks ago

Mallya can easily prove that he will not get fair trial in India (nobody does) to avoid extradition.

This has already been established once in a British Crown Court in a preliminary jurisdictional case for a victim to prosecute the Taj Hotel Bombay and its owners the Tata Group in London for their negligence during the Pakistani invasion of Bombay.

In any case, how does bankruptcy imposed by Govt (Praful Patel's Air India) Policy amount to "willful default"? Only under Indian "Might is right" jurisprudence.

SuchindranathAiyerS

2 weeks ago

Mallya can easily prove that he will not get fair trial in India (nobody does). It has already been established once to prosecute the Taj Hotel Bombay and it owners the Tata Group in London for their negligence during the Pakistani invasion of Bombay. How does bankruptcy imposed by Govt (Praful Patel's Air India) Policy amount to "willful default"?

SRINIVAS SHENOY

2 weeks ago

I think now the government must act seriously to recover the bad loans from the defaulters, rather than penalising the hapless depositors, with various types of service charges.

Simple Indian

2 weeks ago

Unlike the legal system in India, the Courts in UK are not notorious for unbearably prolonged legal proceedings running into decades if not years. Hence, one can expect UK to decide this matter within a 'reasonable' time. However, if & when Vijay Mallya is extradited to India, it's anybody's guess how long our legal process will take to try him and make him clear his dues to Banks, just as the SC is doing with Subroto Roy of Sahara Group. Considering our snail-paced (no offense to snails) legal system, won't be surprising if Vijay Mallya's great-grandson ends up being forced to clear his dues sometime in the next century. LOL !

REPLY

Suketu Shah

In Reply to Simple Indian 1 week ago

I agree with you on UK legal proceedings being fast.However I think VM wl pay 1 day before extradition from foreign funds to avoid the humiliation of being brought as a prisoner from UK to India.

Your faulty printer can fall prey to hackers
New Delhi, In view of the rising cyber security threats, HP India on Tuesday elaborated on how a non-secure multi-function printer can fall prey to hackers and break into an organisations network to steal confidential information.
 
According to a survey, 92 per cent companies have reported security breaches leading to financial as well as reputation loss, of which nearly 60 per cent took place due to a faulty printer in the company's network. 
 
"The importance of upgrading a printer's firmware on regular intervals, lack of which can lead to a hack in its system code and compromise it in accepting malicious lines of code. That code can then be used by the hacker to get access to print jobs and to the user's computer where the print job was initiated," Raj Kumar Rishi, Senior Director, Printing Systems, HP India, told reporters here. 
 
The need to include printer security as part of the government policy guidelines and recognise them as a vital network end point that is critical to the IT managers worldwide. 
 
Keeping these threats in mind, Rishi elaborated on HP's efforts in developing products and technology to provide secure printing to their customers. 
 
HP now offers various secure features like "HP Sure Start", "HP Future Smart Firmware", "HP Jet Advantage Secure" and "Private Print" to prevent exposure of sensitive documents and unauthorised access to the printer and the print jobs. 
 
HP also has secure "Managed Print Services" through which, it offers secure printers that are pre-configured for security to prevent outside networks from hacking into the printer using the lesser used ports.
 
Disclaimer: Information, facts or opinions expressed in this news article are presented as sourced from IANS and do not reflect views of Moneylife and hence Moneylife is not responsible or liable for the same. As a source and news provider, IANS is responsible for accuracy, completeness, suitability and validity of any information in this article.

User

COMMENTS

LUCAS ROSARIO

2 weeks ago

I wonder how many thousands of crores his UB company must have paid to the government in all these years. They expect that a company should not fail, that shows that we do not know banking, and why onetime settlement at DRT has has not been done as is the norm for companies that fail. People are treated differently for no known reasons in this country.

We are listening!

Solve the equation and enter in the Captcha field.
  Loading...
Close

To continue


Please
Sign Up or Sign In
with

Email
Close

To continue


Please
Sign Up or Sign In
with

Email

BUY NOW

The Scam
24 Year Of The Scam: The Perennial Bestseller, reads like a Thriller!
Moneylife Magazine
Fiercely independent and pro-consumer information on personal finance
Stockletters in 3 Flavours
Outstanding research that beats mutual funds year after year
MAS: Complete Online Financial Advisory
(Includes Moneylife Magazine and Lion Stockletter)