The finance ministry on Tuesday said that there has been no increase in service charge by any public sector bank amid reports of revision in charges related to operations such as withdrawal and deposit.
“No service charge is applicable on the 60.04 crore basic savings bank deposit accounts, including 41.13 crore Jan Dhan accounts opened by the poor and unbanked segments of society, for the free services prescribed by RBI,” the finance ministry said in a release on Tuesday.
The release also mentioned that Bank of Baroda, which had earlier notified a revision in its norms on free deposits and withdrawals from November 1, has reversed its decision.
“Bank of Baroda has since informed that in the light of the current Covid related situation, they have decided to withdraw the changes,” the statement said. “Further, no other PSB has increased such charges recently.”
Bank of Baroda also released a statement in this regard.
The finance ministry statement also mentioned that other public sector banks have assured that they would not raise their service charges “in the near future in view of the Covid pandemic”.
However, leading private sector lender ICICI Bank has increased their service charges from November 1, reported Mint. The bank will now levy Rs 50 as convenience fee for cash deposits by customers in cash recyclers during non-business hours and bank holidays. Axis Bank had already started levying such a charge, earlier this year.
Limited-time offer: Big stories, small price. Keep independent media alive. Become a Scroll member today!
Our journalism is for everyone. But you can get special privileges by buying an annual Scroll Membership. Sign up today!