Kolkata: Reserve Bank of India (RBI) is not ready to tolerate delay in pension payment by banks anymore. The RBI has directed “agency banks” that disburse pensions to retired employees of the central government to compensate for any delay that might happen in disbursing the pension amount. The banking regulator has also set the rate of compensation — it has said that banks must pay interest at the rate of 8% per annum. The circular stating the new rule was issued at the beginning of the first month of the new financial year.

The circular tiled ‘Disbursement of Government Pension by Agency Banks’ stipulated that all disbursing banks must pay interest at the rate on any delay in........

© News9Live