New Delhi, March 9 Approximately 72 crore Basic Savings Bank Deposit Accounts (BSBDAs), including those under the PM Jan Dhan scheme, are not subject to any penalties for failing to maintain a minimum balance, Finance Minister Nirmala Sitharaman said on Monday.
In a written reply to a question in the Lok Sabha, she said that banks offer zero-balance savings accounts in Basic Savings Bank Deposit Accounts (BSBDAs), including accounts opened under the Pradhan Mantri Jan Dhan Yojana (PMJDY), to ensure universal access to banking facilities, particularly for unbanked, vulnerable, and small depositors, and to promote financial inclusion.
These accounts do not require maintenance of any minimum balance, and account holders are provided basic banking services such as deposits, withdrawals, and ATM access free of charge, without any penalties.
"Approximately 72 crore BSBDAs, including PMJDY accounts, are not subject to any penalties for failing to maintain a minimum balance," Sitharaman said.
For other accounts, banks may levy charges for failing to maintain a Minimum Monthly Average Balance (MAB) in accordance with their board-approved policies and the extant instructions of the Reserve Bank of India (RBI), which require that such charges be reasonable, transparent, and broadly aligned with the cost of providing the services.
During FY 2022–23 to FY 2024–25, Public Sector Banks (PSBs) have collected ₹8,092.83 crore from current and savings account holders on account of non-maintenance of MAB.
"The amount of ₹8,092.83 crore collected over the last three financial years constitutes approximately 0.23 per cent of the total income of Public Sector Banks during the same period, indicating that such charges form only a very small proportion of banks' income and are primarily aligned with the cost of providing banking services rather than revenue generation through penalties," Sitharaman said.
To further enhance customer centricity and promote inclusive banking, PSBs have reviewed their service charge structures. In accordance with board-approved policies and commercial considerations, SBI had completely waived off penalties for non-maintenance of minimum MAB in savings accounts since March 2020. In 2025, nine PSBs have waived such charges and two have rationalized minimum balance charges.