Encouraging usage of Debit Cards among Government employees: Finance Ministry OM dated 01.12.2016
F.No. 25 (30)/E.Coord/2016
Ministry of Finance
Department of Expenditure
New Delhi, 01st December 2016
OFFICE MEMORANDUM
Subject: Encouraging usage of Debit Cards among Government employees
In the recent years advancements in banking technology, progress in mobile banking and innovative technologies to facilitate digital payments have enabled large number of small denomination transactions to be handled smoothly in electronic mode. The Government of India has taken policy decisions encouraging cashless/electronic transactions.
2. In its endeavour on moving towards electronic payments, Central Government Ministries/Departments have been crediting the salary and other payments for the majority of its employees electronically, direct into the designated bank accounts of the employees. Given the progress made in banking technology, it is assumed that each employee would be in possession of a Debit/ATM card linked to his/her bank account. Ensuring and encouraging government employees to maximise the usage of Debit cards for personal related transactions instead of cash would go a long way serving with the employees serving as ‘ambassadors’ for the digital push and also motivate, encourage the general public in taking up the cause.
3. All Ministries/Departments are requested to encourage their employees to make use of Debit Cards for personal related transactions instead of cash. Ministries/Departments should liaise with their accredited banks and set up special camps to facilitate obtaining of and ensure that all its employees are in possession of Debit Cards. Ministries/Departments may also issue similar advisories to their attached/subordinate offices, PSUs, Autonomous Bodies etc.
(H. Atheli)
Director
Source; www.finmin.nic.in [Click here to view/download]
COMMENTS
Encouragement of make use of Debit Cards for personal related transactions instead of cash is good but If bank deducts SBI & ICICI bank charges 11.50 for filling of fuel worth Rs.100.
If this practice continues by bank even after 31st Dec,2016, People will definately discontinue the use of card. Why people should bear extra cost on such thing As this is a policy of cutting own savings.
The charges for using debit cards are deducted by the respective bank. Viz. SBI and ICICI debit card used for filling a petrol at pump Station worth Rs.100 and bank deducted Rs 11.50 so total cost goes to 111.50 for fuel worth Rs.100/. In this use of card paid extra Rs.11.50
If paid in cash No extra payment is to be made
Use of Debit cards may cut your saving, as bank deducted charges for transation. This is exempted upto 31st Dec 2016 only
what about from 1st Jan,2017 If bank deductions continued There is a tact of cutting your saving
The charges for using debit cards are deducted by the respective bank. Viz. SBI and ICICI debit card used for filling a petrol at pump Station worth Rs.100 and bank deducted Rs 11.50 so total cost goes to 111.50 for fuel worth Rs.100/. In this use of card paid extra Rs.11.50
If paid in cash No extra payment is to be made
Use of Debit cards may cut your saving, as bank deducted charges for transation. This is exempted upto 31st Dec 2016 only
what about from 1st Jan,2017 If bank deductions continued There is a tact of cutting your saving
There should not be any limit for using Debit Card.