What changed
RBI revised and updated the master circular on government pension disbursement, consolidating all instructions issued up to March 31, 2021. The circular discontinues the practice of forwarding dearness relief orders to agency banks, requiring them to act on orders received via post, fax, email, or government websites. It also mandates immediate compliance with government notifications without waiting for further RBI guidance.
What it means for you
Agency banks must now proactively access government orders on DR and other benefits from official sources and disburse pensions promptly. Any excess payment due to bank error must be immediately credited to the government account, with recovery from pensioners handled separately. Banks should resolve government-caused errors directly with the concerned department without involving RBI.
What you must do
- Access government orders on dearness relief and other benefits from official websites or other channels and disburse immediately without waiting for RBI instructions.
- Credit any excess pension payment due to bank error to the government account in lump sum immediately, independent of recovery from the pensioner.
- For excess payments due to government error, take up the matter directly with the concerned government department within a time-bound manner and maintain acknowledgment records.
- Ensure pension disbursement branches follow all government guidelines and instructions scrupulously.
Who it affects
All agency banks handling government pension disbursement, Pension paying branches of agency banks, Government pension sanctioning authorities
What should we do if we detect an excess pension payment due to our bank's error?
Credit the entire excess amount to the government account in lump sum immediately. This action is independent of any recovery process from the pensioner.
How should we handle excess pension payments caused by government errors?
Take up the matter directly with the concerned government department with full particulars. Ensure a time-bound resolution and keep the government authority's acknowledgment on record. Do not refer such cases to RBI.
Do we need to wait for RBI instructions before acting on government orders for dearness relief?
No. The circular discontinues forwarding of such orders by RBI. You must act on copies received via post, fax, email, or from government websites immediately without waiting for further RBI instructions.