Your bank is scamming you!😱
Hiiii
Kese ho, you hard-working ball of insomnia and fatigue?It’s simply not okay to survive (hopefully, just patches of) toxicity and pressure at work to earn money only to let it get drained from holes you aren’t even aware of. And THAT is exactly why FinCocktail exists! Read on to know how your bank could be scamming you.
What I was up to: Music has somehow become an inseparable part of my hectic life, it’s just what I turn to for solace and sanity, I am sure many of you might relate! This week was super exciting for me because I shot another value machine of an episode of our podcast this week featuring Nirmika Singh, the CEO of Mox Asia, who has been instrumental in providing future music artists a platform to showcase and commercialize their works. She is a multi-faceted entrepreneurial creative leader and an accomplished poet.
The Music Industry in our country is rapidly growing with several independent musicians creating cult classics. Entrepreneurship helps in transforming their craft into thriving businesses in today’s digital landscape. So, go ahead and watch here:
Simbaa was taking his job as CCO very seriously, as per ush!
We are now registered mutual fund distributors!! If you would like to check it out, you can fill out this form and our team will get in touch with you soon :)
Market ka haal: Profit-taking hit midcaps while global markets sent mixed signals, and although the Indian markets were flat through the week ahead of the rate cut. However, Sensex and Nifty surged to record highs at the open, following the US Federal Reserve's announcement of a 50 basis point interest rate cut for the first time since 2020📉. This shift could benefit our markets for a good while and the Fed now anticipates a 100bps rate cut next year and a 50bps cut in 2026.🌍
A study by Capitalmind shows that while Indian markets tend to dip after Fed hikes, they usually bounce back the next day and often outperform the S&P 500 in the long run. So, if you ask me, Bharat is quite a top spot for investing! 🚀💼
Humara Gyaan: When you graduated, your parents probably set you up with your first bank account. Then, with every job, you were given a salary account that later turned into a savings account. Before you knew it, you had accumulated more accounts than you could keep track of, and now you’ve likely forgotten about most of them. If you ever bother to check on them and find a negative balance, this is for you! While it may not seem like a big deal at first, a negative balance can signal poor financial management and impact your creditworthiness.
But hold up! What if I told you your bank has probably been scamming you all along?
Most banks charge a penalty if you don’t maintain the minimum balance in your savings account. But here’s the catch—if your balance is close to zero and they slap a penalty on you, will it push your account into a negative balance?
According to the Reserve Bank of India (RBI), banks are required to ensure that savings account balances don’t go negative because of penal charges for not maintaining the minimum balance. However, this doesn’t mean you won’t still owe the penalty—you just won’t see your balance dip into the negative because of it.
According to the RBI, banks must follow these guidelines for charging penalties when you don’t maintain the minimum balance in your savings account:
Banks must notify you via SMS, email, or letter if your balance falls below the minimum, giving you a month to restore it.
Penalties can be applied if the minimum balance isn’t restored within at least a month from the notice date.
The bank's board must approve the penalty policy.
Charges should be proportional to the shortfall (based on how much you're below the minimum).
Penalties must be reasonable, covering the average cost of services.
Your account balance shouldn’t turn negative just from these penalties.
Like what you’re reading? Please share this with your friends and have them sign up too!
Just three months ago, YES Bank was hit with a ₹91 lakh penalty for wrongly charging customers for not maintaining a minimum balance. So, keep tabs on all your accounts, know what fees you're being charged, and of course, foreclose the accounts that you do not use!💡 Don’t let your bank sneak in unnecessary penalties. It’s your hard-earned money—stay smart and stay informed! 💰✨
Here’s to finding the silver lining🍻
Sayali❤️
Follow us if you don't already: Twitter | Instagram | LinkedIn | Facebook | YouTube