Indian Overseas Bank (IOB), a leading public sector bank, has provided significant relief to millions of its customers. The bank has announced that it will waive, with immediate effect, the penalty charges levied on savings account holders for not maintaining a minimum average balance (MAB) in their accounts. According to PTI, this decision is a significant step towards simplifying and making the banking experience for customers stress-free. The bank aims to reduce unnecessary financial burden on its customers.
Financial Inclusion Initiatives for Customers
The bank informed that this waiver reflects its commitment to customer centricity and financial inclusion. Indian Overseas Bank has already waived the minimum balance fee for several special schemes such as IOB Sixty Plus, IOB Savings Bank Pensioner, Small Accounts, and IOB Savings Bank Salary Package. On this occasion, Ajay Kumar Srivastava, Managing Director and CEO of the bank expressed his happiness and said that we are happy to announce this waiver, which will provide significant relief to our account holders. Our aim is to make banking more convenient and hassle-free for our customers.
Key points of the decision
- What’s waived: Penal charges for non-maintenance of MAB in IOB savings accounts (Public Scheme).
- When applicable: This exemption has been implemented with immediate effect.
- Previous charges: The bank has clarified that the charges that were already applicable for the period up to September 30, 2025, will continue to be levied as per the existing rules.
- This move by Indian Overseas Bank will benefit the common account holders the most, who had to pay charges for not maintaining the minimum balance in their account either unknowingly or due to some financial compulsion.
