Mumbai: Reserve Bank of India asks banks to stop imposing charges for non-maintenance of minimum balance once the balance touches zero. Banks has a minimum balance limit in the saving account. This rule was effective last year, but some banks are still charging the customers for zero balance account.
According to the RBI, if any bank continues to debit charges on a savings account creating a negative balance, customers can approach the banking ombudsman.
In April 2015, Reserve bank asks banks to give an advance notice before applying such charges.
Usually, banks offer facilities like no minimum balance when a salary account is opened with them. However, when an individual changes his job this account stops getting continuous flow of funds, banks start applying charges similar to savings accounts pushing the balance into negative balance.