RBI sets a clock on frozen accounts 🇮🇳

On September 11 the Reserve Bank of India published draft KYC Amendment Directions covering accounts suspected of money mule activity. For the first time there is a proposed limit on how long a bank can hold your money.
🔔 What the draft says:
⏳ A debit hold should not last longer than 60 days, unless law enforcement instructs otherwise
🗓 The account holder gets 20 days to explain, and the bank has 10 days to decide after that
💳 Any transaction of ₹1,000 or more flagged by the bank's monitoring systems, including AI tools, can be treated as suspicious
🔒 Freezing the whole account should be a last resort — holding only the flagged amount is the default
🥳 It covers commercial banks, small finance banks, payments banks, regional rural banks and urban cooperative banks
⚡ What does not change: holds placed directly by police or another authority are not covered by the 60-day limit. Those can still run for months.
⚠️ This is a draft, not a rule yet. Public comments are open until October 2, and the framework is expected to apply from April 1, 2027 — banks may adopt it earlier.
🤝 What it means for us: today a hold can sit on an account with no deadline at all. If this passes, there is a defined window, a right to respond and a limit on account-level freezes. Keep the paperwork on where your funds come from — under this draft you get 20 days to answer, not 20 minutes.
↔️ Account types and daily limits: indiap2pprocessing.com/guide/bank-account-types

Hinglish

🏦 RBI ne frozen accounts par time limit lagane ka draft nikala hai 🇮🇳
11 September ko Reserve Bank of India ne naya draft KYC Amendment Directions publish kiya, jo un accounts ke liye hai jinhe money mule activity ka suspect mana jata hai. Pehli baar propose hua hai ki bank aapka paisa kitne din tak hold kar sakta hai.
🔔 Draft kya kehta hai:
⏳ Debit hold 60 din se zyada nahi hona chahiye, jab tak law enforcement alag instruction na de
🗓 Account holder ko 20 din milte hain explanation dene ke liye, uske baad bank ko 10 din me decide karna hota hai
💳 ₹1,000 ya usse upar ka koi bhi transaction, jise bank ka monitoring system (AI tools included) flag kar de, suspicious mana ja sakta hai
🔒 Pura account freeze karna last resort hona chahiye — default sirf flagged amount hold karna hai
🥳Ye commercial banks, small finance banks, payments banks, regional rural banks aur urban cooperative banks sab par lagega
⚡ Kya nahi badlega: jo hold police ya kisi authority ke direct order se lagta hai, us par 60 din ki limit apply nahi hoti. Wo abhi bhi mahino tak chal sakta hai.
⚠️ Ye abhi sirf draft hai, rule nahi. Public comments 2 October tak open hain, aur framework 1 April 2027 se lagu hone ki ummeed hai — banks chahein to pehle bhi apna sakte hain.
🤝 Humare liye matlab: aaj hold bina kisi deadline ke baitha rehta hai. Agar ye pass hota hai to clear window milegi, jawab dene ka haq milega aur account-level freeze par limit lagegi. Apne funds ke source ke documents hamesha ready rakho — draft ke hisab se aapko 20 din milte hain, 20 minute nahi.
↔️ Account types aur daily limits: indiap2pprocessing.com/guide/bank-account-types