In a move to help customers, Indian Bank has decided stop loading ATMs with Rs 2,000 notes, IANS reported.
"After withdrawing cash from ATMs, customers come to the bank's branches to exchange Rs 2,000 notes with smaller denomination currency notes. To avoid that, we have decided to stop loading Rs 2,000 denomination notes in ATMs with immediate effect," a bank official told the news agency.
Indian Bank, which is headed for a merger with Allahabad Bank, will instead load more Rs 200 denomination notes, the report added.
The Rs 2,000 notes remaining in ATMs after March 1 will be removed, the report added.
Moneycontrol could not independently verify the report.
A decision on Allahabad Bank ATMs will be taken only after the merger, an Indian Bank official told IANS.
The government has proposed consolidation of 10 state-run lenders into four, which is scheduled to come into effect on April 1.
Other public and private sector banks have so far not followed Indian Bank’s move to stop loading Rs 2,000 notes.
"We have no instruction or information from our customer private banks to stop loading Rs 2,000 notes into ATMs," V Balasubramanian, President, Financial Software and Systems (FSS), told IANS.
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