In a major move that benefits millions of customers, Punjab National Bank (PNB) has announced that it will no longer impose charges for non-maintenance of minimum balance in savings accounts. This comes as a huge relief for common people, especially low-income individuals, students, pensioners, and rural customers who often struggle to maintain the required balance due to financial constraints.
With this announcement, PNB joins the growing list of banks that are making their banking services more inclusive and customer-friendly, aligning with the government’s push for financial inclusion and digital banking access for all.
Letβs understand the full details of this policy change, who benefits the most, and what it means for your savings account in 2025.
π¦ What Was the Minimum Balance Rule Earlier?
Before this update, PNB customers were required to maintain a minimum average balance (MAB) in their savings account. The amount varied depending on the type of account and whether it was in:
- Urban branches: βΉ1,000ββΉ2,000
- Semi-urban branches: βΉ1,000
- Rural branches: βΉ500
Failure to maintain this balance used to attract penalty charges ranging from βΉ10 to βΉ500 per month, depending on the shortfall.
π What Has Changed Now in 2025?
As of 2025, PNB has officially scrapped these charges. This means:
- No penalty or charges if your account balance falls below the previous minimum threshold
- Applicable to regular savings accounts and basic savings bank deposit (BSBD) accounts
- The bank aims to make its services more accessible to the masses
This step is aimed at promoting digital banking, encouraging savings, and supporting economically weaker sections.
π‘ Why This Move Is a Game-Changer
β 1. Financial Relief for Common Citizens
This move will provide direct financial relief to crores of PNB customers who were earlier forced to keep money locked in their account just to avoid fines. Now, they can:
- Use their funds freely without fear of penalties
- Maintain zero balance temporarily when needed
- Avoid unnecessary service charges
β 2. Supports Financial Inclusion
The decision aligns with the Jan Dhan Yojana and Digital India initiatives, making banking more accessible to:
- Rural population
- Small business owners
- Daily wage workers
- Students and senior citizens
It promotes banking habits among those who were earlier hesitant to open or use bank accounts due to hidden charges.
β 3. Encourages More Usage of Bank Accounts
When people know they wonβt be fined, they are more likely to:
- Open new accounts
- Actively use online banking services
- Keep their accounts active for savings, government schemes, and transactions
This helps both customers and the bank by increasing digital engagement and transparency.
π Comparison: Banks With and Without Minimum Balance Rules
| Bank Name | Minimum Balance Required | Charges for Non-Maintenance |
|---|---|---|
| PNB (Now) | β Not required | β No penalty |
| SBI | β Not required (since 2020) | β No penalty |
| HDFC Bank | βΉ10,000 (Urban) | β Yes (βΉ150ββΉ600/month) |
| ICICI Bank | βΉ10,000 (Urban) | β Yes |
| Axis Bank | βΉ12,000 (Urban) | β Yes |
| Kotak Mahindra | βΉ10,000 | β Yes |
β‘οΈ Clearly, PNB is now in the same customer-friendly category as SBI and is a great choice for those looking for zero-balance, hassle-free banking.
π₯ Who Benefits the Most from This Change?
This update especially benefits:
- Students who donβt have regular income
- Senior citizens depending on pensions
- Low-income individuals and rural households
- Job seekers or freelancers with inconsistent funds
- Women under government schemes like PMJDY, DBT, etc.
π± What Services Do You Still Get with Zero Balance?
Even if your account has zero balance, you can still enjoy the following services:
- β Online fund transfers (NEFT/IMPS/UPI)
- β ATM withdrawal and debit card usage
- β Direct benefit transfer (DBT) from government schemes
- β SMS banking and mobile banking
- β Passbook and account statement services
- β Fixed deposit, loan, and insurance facilities
There is no downgrade in service quality for maintaining a low or zero balance.
π How to Open a PNB Zero Balance Savings Account
To open a zero-balance or BSBD account with PNB, you can:
π Offline Method:
- Visit your nearest PNB branch
- Submit Aadhaar and PAN (or Form 60)
- Complete KYC process
- Fill out the application form
- Account gets activated within 1β2 days
π Online Method (for digital-savvy users):
- Go to the PNB official website or mobile banking app
- Choose βOpen New Savings Accountβ
- Verify with Aadhaar-linked mobile number
- Complete e-KYC
- Receive account number and details instantly
β FAQs About PNB Minimum Balance Removal
Q1: Will this apply to all account holders?
Yes, this policy applies to all PNB regular and BSBD savings accounts, across all branches (urban and rural).
Q2: Can I keep zero balance without any restrictions?
Yes, thereβs no restriction on keeping zero balance now. However, account activity is recommended to avoid account becoming dormant.
Q3: Are there any hidden conditions?
No. As per PNBβs 2025 update, there are no penalties or hidden service charges for minimum balance shortfall.
Q4: What if I already paid penalty before this update?
Previous penalties are not refundable. The new rule is applicable from the implementation date forward.
π Final Verdict: A Welcome Step for Indiaβs Banking Ecosystem
PNBβs decision to eliminate minimum balance charges is a progressive, people-centric move that will increase customer satisfaction, improve trust in banking, and support Indiaβs financial empowerment goals.
If you are someone looking for:
- A zero-maintenance savings account
- Free and secure digital banking
- Access to government subsidies and DBT
- No hidden fees or penalties
Then PNBβs updated savings account policy is the right choice for you in 2025.
