And all the new rules have come into force in India from April 2025 regarding savings accounts that have underscored important changes for the account holders. The objective of such amendments is to make the banking system more secure, transparent, and user-friendly for the customers. The new rules include such important matters as changes in interest rates, new minimum balance conditions, and cash deposit limits.
Change In Savings Account Interest Rates
HDFC Bank has brought down the savings account interest rate by 0.25%. Now accounts with balances under ₹ 50 lakh will earn interest at a rate of 2.75%, while a balance of ₹ 50 lakh and above qualifies for a 3.25% interest rate. The changes become effective on 12 April 2025. The last five years saw the offering of an interest rate of 3% for customers.
New Minimum Balance Conditions
Henceforth, savings account holders in HDFC Bank branches located in metros and urban areas must maintain a minimum monthly balance of ₹ 10,000. The limit extends to ₹5,000 in semi-urban areas; while in rural areas, a quarterly balance of ₹2,500 or an FD of ₹10,000 will go down as mandatory.
Cash Deposit Limit With Tax Rules
RBI and Income Tax Department set the cash deposit limit in a savings account for an individual at ₹10 lakh per annum. Cash deposited above this threshold must be reported by the bank. A PAN card will be necessary for cash deposits of ₹50,000 or more. The Income Tax Department may investigate the case if the deposited amount doesn’t match the provided income.
Digital Banking And Security Measures
Digital banking has been promoted by adding features in banks such as AI-powered chatbots and biometric verification. In addition, the banks have increased the strength of cyber security measures and two-level authentication, making online transaction scenarios more secure.
Conclusion
These new rules for savings accounts in 2025 are bound to prove significant for the customer’s side-the interest rate cuts, new minimum balance requirements, cash deposit limits, and digital banking reforms have made the banking system safer and more efficient. Such laws will have to be taken into account when taking up financial decisions.
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