Archive · 4 Oct 2025
RBI Proposes Upgrades to Basic Savings Bank Deposit Accounts
The RBI is making changes to simple bank accounts called Basic Savings Bank Deposit accounts to help more people.
These accounts, aimed at low-income and rural customers, will become easier to use.
Banks must offer free services like ATM cards, chequebooks, and online banking.
Customers can deposit any amount of money without limits and make free withdrawals.
You can open one BSBD account and it is required to close existing savings account if you already have one.
The RBI wants to make banking more accessible and convenient for everyone.
New rules include using internal ombudsman for grievances, and standard KYC/AML procedures.
RBI proposed upgrades to Basic Savings Bank Deposit (BSBD) accounts.
Banks must offer free basic services, including unlimited deposits and free online banking.
Customers are entitled to free ATM/debit cards and a minimum of 25 cheque leaves.
Existing savings accounts must be closed within 30 days of opening a BSBD account.
The deadline for banks to comply with the new regulations is March 31, 2026.
- Who
- Reserve Bank of India (RBI)
- What
- Proposed upgrades to Basic Savings Bank Deposit (BSBD) accounts
- When
- Announced on October 1
- Where
- Across all banks in India
- Why
- To deepen financial inclusion and align with evolving customer needs.
- Account Type
- Basic Savings Bank Deposit (BSBD)
- Initiating Body
- Reserve Bank of India (RBI)
- Goal
- Enhance financial inclusion
- Target Demographic
- Low-income, rural customers
- Key Feature
- No minimum balance required
- Mandatory Services
- Free ATM/debit cards, chequebooks, online banking
- Compliance Deadline
- March 31, 2026