By a0amdn62263@outlook.com 
New Delhi – In a customer-friendly move, Punjab National Bank (PNB), one of India’s leading public sector banks, has announced the elimination of penalty charges for non-maintenance of Minimum Average Balance (MAB) across all savings accounts. This major decision will come into effect from July 1, 2025, and is aimed at promoting inclusive banking, particularly for women, farmers, and low-income families.
Promoting Inclusive and Stress-Free Banking
PNB’s Managing Director and CEO, Ashok Chandra, stated,
“This initiative reflects our unwavering commitment to inclusive banking. By waiving these charges, we aim to reduce the financial burden on our customers and encourage greater participation in the formal banking ecosystem.”
The move is expected to make banking services more accessible and hassle-free, especially for marginalized and financially vulnerable sections of society.
Focus on Education: Interest Rate Cut under Vidyalakshmi Scheme
In a related development, PNB has also reduced the interest rate on education loans by 0.2% under the Vidyalakshmi Scheme. This initiative further strengthens the bank’s dedication to making education more affordable. After the revision, education loans will now start at 7.5% interest, depending on the institution.
The Vidyalakshmi Scheme is designed to provide comprehensive financial support to students seeking quality higher education, ensuring that cost does not become a barrier to academic excellence.
Industry Trend: Following Canara Bank’s Lead
Last month, Canara Bank became the first major public sector bank to eliminate the minimum balance requirement across all savings accounts. The bank highlighted that the move was aimed at enhancing customer convenience and financial inclusion.
With PNB now joining the initiative, it signals a growing trend among public sector banks toward customer-centric reforms and barrier-free banking.