As of today, 4 major banks have been formed by merging 10 public sector banks in the country. Oriental Bank of Commerce and United Bank merged with Punjab National Bank (PNB). The bank formed after this incorporation became the second bank in the country.
After Syndicate Bank merged with Canara Bank, it became the country’s fourth largest bank. Union Bank with Andhra Bank and Corporation Bank, making it the fifth state bank in the country. Indian Bank and Allahabad Bank became the country’s seventh bank. We will tell you that if your account is in one of these banks then what effect this bank merger will have on you and your money.
What will be the impact of the merger on bank accounts?
It will have a direct impact on the savings account, the current account and other types of accounts. Once the merger process is complete, these account holders will need to go to the bank and replace their existing passbook with the new passbook. The government has asked all banks involved in the merger to ensure that there will be no difficulties in banking services during the merger process.
Will this affect the bank account numbers?
If the account number of the merged banks has equal digits, the account number cannot change. But if there is a difference in the number of digits of the account numbers, they will definitely change.
Will bank branches change?
After the merger process is complete, if the branches of any of the banks involved are in more than one domain, some branches may need to close. On the other hand, if the banks have branches in a city, they will also be closed.
What will be the effect on the old checkbook?
After the merger process, the names of 6 of the 10 affected banks will be changed and the checkbook with the name of the old bank will also be canceled. A new checkbook will be issued at this location. However, six months will be given to do so.
will this affect the bank’s IFSC after the merger?
The IFSC (Indian Financial System Code) numbers of the various branches of the merging banks will not be immediately affected, but once the merger process is completed, it will change permanently.
What will happen to old debit and credit cards?
This process will not affect the debit and credit cards issued to customers of the various banks involved in the merger and they will continue to operate as before. However, integrated banks can issue new debit and credit cards to customers under the new brand.
What will be the impact on the FD and the RD of the banks?
The consolidation of banks will also have an impact on the interest rates they pay on various deposit systems. The FD-RD interest rates for pre-merged customers will not be affected, but the interest rates for new customers will be decided according to the bank.
Will there be any changes in loan rates?
There will be no change in the old rates of various types of loans such as home loans, auto loans, student loans, personal loans, and gold loans.
Do bank details need to be updated in different places?
Customers of the affected bank will need to update their new account numbers and IFSC details, including income tax, insurance company, mutual funds and everywhere. Details will also need to be updated in SIP and EMI.
