State-Run Banks Penalize Depositors ₹2,331 Crore for Non-Maintenance of Average Balance
In a recent revelation, the minister of state in the finance ministry, Pankaj Chaudhary, informed the Lok Sabha that state-run banks charged depositors a staggering ₹2,331 crore in penalties for non-maintenance of quarterly or monthly average balance during the fiscal year 2024. This figure marks a significant 25% increase from the penalties imposed in the previous year.
The data disclosed further highlights the individual contributions of various lenders to this substantial sum. Punjab National Bank charged the highest amount, totaling ₹633 crore, followed by Bank of Baroda at ₹386 crore for the non-maintenance of quarterly balance. Additionally, Indian Bank imposed penalties amounting to ₹369 crore for the failure to maintain the average monthly balance.
In response to a separate inquiry, the finance ministry asserted that the availability of banking outlets is being actively monitored through a Geographic Information System (GIS) based application called Jan Dhan Darshak (JDD) App. Remarkably, out of the 6,01,328 inhabited villages mapped on this application, an impressive 99.85% (6,00,458 villages) are covered by banking outlets within a radius of 5 kilometers.
This recent data serves as a stark reminder to bank customers regarding the importance of adhering to the prescribed average balance requirements. The substantial penalties levied by state-run banks underscore the significance of maintaining the requisite average balance to avoid incurring financial penalties.
This development also showcases the concerted efforts of the finance ministry in ensuring widespread access to banking facilities, particularly in rural areas, as evident from the comprehensive coverage revealed by the JDD application.
The progressive technological interventions and the compelling statistics regarding penalty charges distinctly outline the multifaceted landscape of the banking sector, underlining the pivotal role of compliance and accessibility in the financial domain.
