Modi Govt's Sensational Decision: Huge Relief for Account Holders on Bank Penalties!

• Parliamentary Committee objects to banks collecting huge penalties for not maintaining minimum balance, urges immediate stop.
• Banks collected Rs. 4,817 crore in penalties in FY 2024-25; committee recommends incentives instead of penalties.
• Complaint by Parameswaran Krishna Iyer highlighted how penalties financially burden ordinary people, especially the economically backward.
• Examples cited: Rs. 440 deducted from a laborer's Rs. 500 wage, Rs. 2,500 from Rs. 5,000 sent for a son's needs.
• Private banks collected Rs. 2,772 crore, public sector banks Rs. 2,045 crore; committee calls for uniform, flexible policy across all banks.