New Bank Rules From 1st April 2025: Revised Credit Card Benefits, A Minimum Balance Among Key Changes

Last Updated:March 26, 2025, 19:42 IST

New banking rules in India from April 1, 2025, will affect credit card perks, changes in savings account and FD interest rates, and savings account rules. Stay updated to avoid penalties and maximize benefits.

New Banking Rules In India: From April 1, 2025, new banking regulations will roll out across India, bringing significant changes for account holders. These updates will change credit card perks, savings account rules, implementation of Positive Pay Systems (PPS) and more. Customers should know in advance to avoid penalties and make the most of your banking benefits.

Starting May 1, ATM withdrawals will become more expensive, according to a report by DD News. Customers will be charged an additional Rs 2 for each financial transaction beyond the free limit. For non-financial transactions like balance inquiries, the fee will increase by Rs 1. Consequently, the cost of withdrawing cash from an ATM will rise to Rs 19 per transaction from the previous Rs 17.

Key Changes in Banking Rules from April 1:

Minimum Balance Requirements Adjusted

SBI, Punjab National Bank, Canara Bank, and other institutions are updating their minimum balance rules. The required balance will now vary depending on whether an account is in an urban, semi-urban, or rural area. Not maintaining the prescribed balance may result in penalty charges.

Implementation Of The Positive Pay System (PPS)

To enhance transaction security, many banks are introducing the Positive Pay System (PPS). This system requires verification for check payments above ₹5,000. Customers must confirm details like check number, date, payee name, and amount before processing, reducing fraud and errors.

Enhanced Digital Banking Features

To promote digital banking, banks are launching advanced online features and AI-powered chatbots to assist customers. Enhanced security measures, such as two-factor authentication and biometric verification, will also be strengthened to protect digital transactions.

Changes In Savings Account And FD Interest Rates

Several banks are revising interest rates on savings accounts and fixed deposits. Savings account interest will now depend on the account balance, meaning higher balances may earn better rates. These adjustments aim to offer competitive returns and encourage savings.

Revised Credit Card Benefits

Major banks, including SBI and IDFC First Bank, are altering their co-branded Vistara credit cards. Benefits like ticket vouchers, renewal perks, and milestone rewards will be discontinued. Axis Bank will implement similar changes starting April 18, affecting its Vistara credit cardholders.