Major Relief! 4 Public Sector Banks Scrap Minimum Balance Fees on Savings Accounts

This is excellent news for millions of Indian bank account holders! Four public sector banks have done away with the minimum balance requirements for savings accounts. Even more encouraging, they’ve dropped the fines that were applied for not meeting the required balance as well. This is very good news for the general population, students, and those with uncertain flow of income who usually had to deal with keeping the required amount in their accounts.Most of the banks continue following the the Minimum Balance Maintenance Rule for a prolonged period of time. Not meeting the minimum balance would incur a fine of ₹20 to ₹80 per month plus GST. These charges could quickly add up, eating into a customer’s savings.Major Relief! 4 Public Sector Banks Scrap Minimum Balance Fees on Savings AccountsThese progressive decisions by the four unnamed public sector banks finally let go of these restrictions. Thus, saving account holders in these specific banks will no longer stress about maintaining a set balance each month to avoid penalties.This change is particularly noteworthy because only a few years back, several banks including the SBI had started enforcing minimum balance requirements after having lifted them for some time. This is most likely the result of enduring customer advocacy as well as governmental intervention, and it is certainly a welcome development.It is worth recalling that accounts under ‘Jan Dhan Yojana’ already provided the facility of no minimum balance requirement. However, now this recent announcement enables other regular savings accounts holder to enjoy similar privileges in addition to the four specified banks.This action will particularly assist lower-income earning users as well as those who maintain only basic transaction balances in their savings accounts. This allows for easier access to banking services for a considerably large portion of the population. This policy change, for now, marks a shift in the banking landscape towards more patronage for the customers.