A rickshaw puller passes the Canara Bank branch in the old quarters of Delhi, India.
Credit: Reuters photo
Bengaluru: Bengaluru-based public sector lender Canara Bank announced on Saturday the complete waiver of charges for non-maintenance of minimum balance for all saving bank (SB) account types. This includes savings accounts, salary accounts, non-resident Indian (NRI) SB accounts, etc.
Effective from June 1, 2025, this initiative provides for no penalty for minimum balance requirement across a wide variety of SB accounts. As a result, no SB customer of Canara Bank will face penalties or fees for not maintaining a minimum balance in their SB account, the bank said in a press note.
Previously, customers of the bank had to maintain a minimum average monthly balance (AMB) based on their account type. Failing to maintain these criteria usually led to penalty charges, which will now no longer be the case.
This move is anticipated to benefit millions of Canara Bank customers, including salaried individuals, senior citizens, students, NRIs, and first-time users of banking services, facilitating everyday banking without penalties.
Canara Bank had reported a rise of 33.19% in its net profit to Rs 5,004 crore in the January to March quarter (Q4) of the financial year 2024-25 (FY25), compared to the same quarter in the previous year.
The bank also noted a 9.78% year-on-year (YoY) increase in total income to Rs 37,353 crore in the quarter.
As on March 31, 2025, the bank has 9,849 branches, out of which 3,139 are rural, 2,900 semi-urban,1,944 urban, and 1,866 metro, along with 9,579 ATMs. The bank also has four overseas branches in London, New York, Dubai, and IBU Gift City.
In the last two years, the bank has opened 250 branches. This year, it is opening another 250 branches.