Reserve Bank of India has said that the merger of 10 state-run banks into four will come into force from April 1. The branches of merging banks will operate as of the banks in which these have been amalgamated.
The government on March 4 had notified the amalgamation schemes for 10 state owned banks into four as part of its consolidation plan to create bigger size stronger banks in the public sector.
As per the scheme, Oriental Bank of Commerce and United Bank of India will be merged into Punjab National Bank; Syndicate Bank into Canara Bank; Allahabad Bank into Indian Bank; and Andhra and Corporation banks into Union Bank of India.
Under this, the branches of Oriental Bank of Commerce and United Bank of India will operate as branches of Punjab National Bank from April 1, and branches of Syndicate Bank as that of Canara Bank.
It informed that Allahabad Bank branches will operate as those of Indian Bank while the branches of Andhra Bank and Corporation Bank will function as the branches of Union Bank of India from the beginning of next fiscal year 2020-21.
Customers, including depositors of merging banks will be treated as customers of the banks in which these banks have been merged with effect from April 1, 2020.