PNB collects Rs. 151.66 crore as below minimum balance penalty
What's the story
In FY 2017-18, a total penalty of Rs. 151.66cr has been recovered due to non-maintenance of minimum balance in nearly 1.23 crore savings fund accounts, PNB replied in response to RTI activist Chadra Shekhar Gaud's query. The bank charged Rs. 31.99cr as a penalty in first quarter of FY18, Rs. 29.43cr in Q2, Rs. 37.27cr in Q3, and Rs. 52.97cr in Q4. Here's more.
Public sector banks
Economist Jayantilal Bhandari questioned the role of public sector banks
Economist Jayantilal Bhandari said, "On one hand, the government is running a campaign to associate more and more people with the banking system, while on the other hand, public-sector banks are charging the saving accounts for not keeping the minimum balance." Bhandari urged RBI to immediately review the rates of this penalty in the interests of savings account holders of poor and middle classes.