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RBI Issues New Guidelines for Closure of Dormant, Inactive, and Zero Balance Accounts Starting January 1, 2025.

Banking & Finance | Dated: 03 Jan 2025

The Reserve Bank of India (RBI) has issued new guidelines effective from January 1, 2025, regarding the closure of three types of bank accounts. These include Dormant Accounts, Inactive Accounts, and Zero Balance Accounts. The aim is to improve banking security, reduce fraud, and enhance the overall efficiency of banking operations.

🎯 Key Highlights:

  • - Additionally, the RBI has introduced updated guidelines for Fixed Deposits (FDs) with Non-Banking Financial Companies (NBFCs) and Housing Finance Companies (HFCs) starting from January 1, 2025. Key changes include revised premature withdrawal rules.

💡 Other Important Facts:

  • (i) For small deposits up to Rs 10,000, depositors can withdraw the entire amount within three months without interest.
  • (ii) For larger deposits, partial withdrawals of up to 50% of the principal amount or Rs 5 lakh (whichever is lower) are allowed within three months without interest.

📚 Test Your Knowledge:

Which institution recently introduced new guidelines for FDs with Non-Banking Financial Companies (NBFCs) and Housing Finance Companies (HFCs)?

Correct Answer: RBI

🚀 Quick Recap:

About RBI

  • Governor : Sanjay Malhotra
  • Headquarter : Mumbai