The regulator stated that this was done to protect innocent farmers and rural account holders of PMJDY from activities of money laundering and legal consequences under the benami property transaction and money laundering laws. The central bank said that on accounts which are fully compliant with the know your customer (KYC) norms - the monthly withdrawal limit has been set at Rs 10,000.
According to limits set by the central bank, customers can withdraw up to Rs 24,000 every week from their bank accounts using instruments such as cheques and demand drafts. Farmers have a slightly higher withdrawal limit of Rs 25,000 per week. The limits on Jan Dhan accounts are over and above these restrictions, RBI stated.
Those PMJDY account holders who want to withdraw more than Rs 10,000 a month, will have to furnish appropriate documents to prove why they need the money. After that, banks' branch managers may allow individuals to exceed the Rs 10,000 a month limit. Limited or non-KYC compliant PMJDY account holders will be allowed to withdraw Rs 5,000 a month from the amount they've deposited through new notes after November 9, 2016. This, from within the overall ceiling of Rs 10,000.