Concern over increase in minimum balance for postal savings accounts
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It has been raised from ₹50 to ₹500; penalty to be levied if rule will not be adopted
Postal prospects have raised concern over the increase in minimum balance for savings financial institution accounts. The Department of Posts had additionally given a deadline to keep up the brand new minimum balance by December.
The division had lately issued a round in submit places of work that the minimum balance for savings account had been raised from ₹50 to ₹500. This has brought on fear amongst many shoppers. Customers in southern suburbs famous that the submit places of work now insisted that account holders should preserve a minimum balance of ₹500 by December 11.
Post places of work would levy a penalty of ₹100 yearly for failing to keep up a minimum quantity in account.
V.Santhanam, social activist, mentioned many shoppers, notably in the town’s peripheral areas and rural localities, had been unorganised staff. Some belonged to the center class.
“The low minimum balance in post office savings accounts had attracted many to open new accounts. It would burden many customers who can’t afford to open bank accounts,” he mentioned.
In Chromepet submit workplace alone, there have been about 25,000 such accounts and lots of of them made transactions inside ₹500. The division could think about rising the minimum quantity to ₹100, he added.
Residents demanded that the postal division should withdraw the increase in minimum balance and in addition annual penalty. They plan to make illustration to the Department of Posts, Tambaram division, and in addition plan to carry a protest in Chromepet quickly.
Officials of the Postal Department mentioned there have been about three crore accounts, together with recurring deposit and month-to-month earnings scheme, throughout the State. The announcement associated to minimum balance would have an effect on almost two crore accounts.
“We have already recommended to the Union Ministry of Finance to withdraw the announcement on minimum balance and consider revising it to ₹100-₹200 and cancel the penalty. We have also suggested postponing the deadline for maintaining new balance,” a senior official mentioned.
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