The Reserve Bank of India (RBI) has introduced new rules for savings accounts effective from 25th October 2025. These changes aim to streamline banking practices and ensure transparency for account holders. The updates cover a range of aspects, including minimum balance requirements, ATM transaction charges, and other service fees.
Minimum Balance Requirements
Under the new RBI guidelines, banks now have the flexibility to revise minimum balance limits in savings accounts. While previously some banks imposed higher penalties for not maintaining a minimum balance, the updated rules require banks to clearly communicate the balance requirements and related charges to customers. This move will help account holders avoid unexpected penalties and better manage their finances.
ATM Withdrawal Charges
RBI’s new rules also affect ATM usage. Free ATM withdrawals will be limited to a certain number of transactions per month depending on the type of savings account. Beyond this limit, banks can levy a nominal fee for additional withdrawals. The revised rules encourage digital transactions while ensuring that account holders are aware of potential charges for frequent cash withdrawals.
Service Fee Transparency
Banks are now mandated to provide clear information about all charges linked to savings accounts. From cheque book issuance to online fund transfers, every fee must be transparently communicated to customers. The RBI aims to reduce hidden charges and improve trust between banks and account holders.
Impact on Account Holders
For account holders, these changes mean more clarity and control over their finances. By understanding minimum balance requirements and ATM charges, individuals can plan their banking activities more efficiently. Customers who frequently use ATMs or maintain lower balances will need to adjust their habits to avoid unnecessary fees.
Conclusion
The RBI’s revised savings account rules coming into effect from 1st October 2025 are designed to make banking more transparent and customer-friendly. With clear minimum balance norms, structured ATM charges, and full disclosure of service fees, these changes empower account holders to manage their money smarter. Banks and customers alike will need to adapt to these updated regulations to ensure smooth banking operations.