In a significant move that brings major relief to millions of account holders, Punjab National Bank (PNB) has announced that it will no longer impose penalties or charges for not maintaining minimum balance in savings accounts. This decision is being seen as a pro-customer initiative, aimed at improving financial inclusion and supporting low-income and rural account holders.
The step by PNB follows the increasing demand from customers and regulators to remove such punitive charges, especially when banking has become a necessity in every household.
Let’s take a detailed look at what this change means, who benefits, and what other services remain impacted.
🏦 What Is the Minimum Balance Rule?
Until now, like most banks, PNB had a minimum balance requirement that savings account holders were supposed to maintain every month or quarter. Failing to do so used to attract penalties ranging from ₹50 to ₹400, depending on account type and the shortfall amount.
Minimum balance requirements often varied:
- Urban Branches: ₹2,000 – ₹5,000
- Semi-urban Areas: ₹1,000 – ₹2,000
- Rural Branches: ₹500 – ₹1,000
For many customers—especially students, farmers, pensioners, and workers—this became a financial burden.
📢 What Has PNB Announced?
According to the latest official update from PNB, the bank has:
✅ Completely removed charges for not maintaining minimum balance in savings accounts
✅ The rule is applicable to all savings accounts, including basic, regular, and Jan Dhan accounts
✅ This move came into effect from July 1, 2025
This means even if your account balance drops to zero or below the prescribed limit, you won’t be penalized anymore.
🧾 Why Did PNB Make This Change?
There are several reasons behind this customer-friendly decision:
- Encouraging Financial Inclusion:
This supports PM Modi’s vision of “Banking for All” under the Jan Dhan Yojana. - Relief for Low-Income Groups:
Daily wage workers, farmers, and rural customers often face difficulties maintaining balance. - Competition & Customer Retention:
With banks like SBI and Bank of Baroda offering zero-balance accounts, PNB wants to remain competitive. - Post-COVID Financial Support:
Many account holders are still recovering from financial stress due to inflation, job loss, or emergencies.
👥 Who Will Benefit the Most?
This change is a big win for common citizens, especially:
- Students
- Senior Citizens & Pensioners
- Jan Dhan Account Holders
- Rural and semi-urban users
- Small traders and farmers
- Homemakers and unemployed individuals
Now these users can keep using their bank accounts without worrying about fines.
💸 What Were the Old Charges?
Before this change, PNB used to levy the following charges:
| Shortfall Amount | Urban Branches | Semi-Urban | Rural Areas |
|---|---|---|---|
| Less than 50% | ₹200 | ₹100 | ₹50 |
| 50%–75% | ₹300 | ₹150 | ₹100 |
| More than 75% | ₹400 | ₹200 | ₹150 |
Now all of the above charges have been scrapped for savings accounts.
📲 Does It Apply to All PNB Accounts?
The waiver of minimum balance charges applies to:
✅ Basic Savings Bank Deposit Accounts (BSBDA)
✅ Jan Dhan Accounts (PMJDY)
✅ Regular PNB Savings Accounts
However, some premium or specialized accounts (like salary packages or NRI accounts) may still have other service charges. Customers should confirm with the bank regarding their account type.
🧠 What Does It Mean for Customers?
With this change, PNB customers can:
- Maintain zero balance without worrying about fines
- Use the bank account freely for UPI, net banking, ATM withdrawals
- Avoid hidden deductions or penalty messages
- Focus on savings instead of avoiding penalties
- Feel secure in maintaining banking relationships even with low income
🔐 Other Key Features of PNB Savings Accounts
Even with zero-balance, PNB offers:
- Free RuPay debit card
- NEFT / RTGS / IMPS transfers
- Internet banking & mobile banking
- Access to government subsidies (LPG, scholarships, pension)
- ATM withdrawals at PNB and other bank ATMs
- UPI payments via BHIM, PhonePe, Google Pay, Paytm, etc.
❗Things to Keep in Mind
Although minimum balance charges are removed, customers must still maintain basic activity to avoid dormancy.
✅ Use your account at least once every 12 months
✅ Keep Aadhaar and PAN linked to your account
✅ Avoid suspicious or inactive status – it may lead to freeze
✅ If you’re not getting SMS alerts, visit the branch and update your mobile number
🏦 How to Open a PNB Zero Balance Account?
If you’re someone who still doesn’t have a bank account, here’s how to open one:
📍 Documents Required:
- Aadhaar Card
- PAN Card or Form 60
- Passport-size Photo
- Mobile Number
📝 Process:
- Visit nearest PNB branch
- Fill out the savings account form
- Submit KYC documents
- Choose for BSBDA if you want zero-balance benefits
- Receive passbook, ATM card, and account details
📣 Government’s Appreciation
The Ministry of Finance and Reserve Bank of India (RBI) have been encouraging public sector banks to be more customer-friendly. PNB’s step is being seen as:
“A progressive move that reduces the burden on poor and middle-income customers.”
It is expected that more banks will follow PNB’s path in the coming months.
📊 Summary of the Update
| Feature | Details |
|---|---|
| Applicable From | July 1, 2025 |
| Bank | Punjab National Bank (PNB) |
| Minimum Balance Requirement | Waived Off |
| Charges for Non-maintenance | Zero |
| Affected Accounts | All Savings Accounts (Regular, Jan Dhan) |
| Benefit | No penalties for low or zero balance |
🏁 Final Words
PNB’s decision to remove minimum balance charges marks a major shift toward inclusive and citizen-friendly banking. It not only reduces stress for millions of account holders but also sets a positive trend for other public and private banks.
If you’re a PNB customer, now is the time to make the most of your savings account — without worrying about balance limits or surprise deductions.
✅ Banking just became easier, safer, and friendlier for everyone.