New Delhi: Customers facing issues with net banking or online bank transfer must note this. Due to the recent mergers of several public-sector banks, many bank account holders may have to delete their old IFSC codes (Indian Financial System Codes) and get a new one in accordance with the post-merger bank regulations. If your bank is among those listed in the mergers, the old IFSC codes will no longer be valid for online transactions through NEFT, RTGS or IMPS routes.
Syndicate Bank, Allahabad Bank, Dena Bank, United Bank of India, Vijaya Bank, the Oriental Bank of Commerce, Andhra Bank and Corporation Bank are PSBs whose merger has been announced. As a result, account holders in these banks need to update their IFSC codes on the web portal to continue availing online banking facilities.
How to change the IFSC of your bank branch:
To change your IFSC code, visit the official website of your bank and register for the new IFSC codes by filling in your details again. In case of confusion, account holders can call on the bank’s toll-free number or reach their personal customer care executive.
In case you are looking to make a bank transfer to account holders of one of these banks, you will have to delete the beneficiary details from the list of payees and add it again under the new conditions.
The same rules also apply to mobile banking. Customers are advised to reach out to their respective banks for further details. Failure to make these changes would result in the non-conduction of any monetary transactions.
In August 2019, Finance Minister Nirmala Sitharaman had announced the merger of 10 public sector banks into four banks. As such, Syndicate Bank was merged with Canara Bank, Indian Bank with Allahabad Bank, Union Bank of India with Andhra Bank and Corporation Bank, and Vijaya Bank and Dena Bank were taken under the Bank of Baroda.
The new banking reforms were announced as a cost reduction strategy. consolidation of Syndicate Bank and Canara Bank also marked the formation of one of the largest public-sector banks in India.
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