As the new financial year 2025-26 begins, several changes in banking, taxation, and virtual transactions are set to take effect. These updates will affect ATM withdrawals, UPI transaction limits, credit card rewards, minimal stability requirements for savings accounts, check payments, Demat account KYC, and PAN-Aadhaar linking. Let's take a more in-depth study of those new guidelines and their effect.
1. ATM withdrawals are emerging as costlier.
Below RBI's new guidelines, customers can be allowed only 3 loose transactions consistent with the month at ATMs of different banks. Beyond this restriction, a price ranging between ₹20 and ₹25 in step with the transaction may be charged. This will especially affect individuals who regularly withdraw cash.
2. Minimal balance Requirement for savings accounts
Banks will now strictly enforce minimal stability necessities in financial savings bills. If an account falls beneath the specified balance, clients may additionally data-face penalties. Each bank may have one-of-a-kind minimal stability standards, so it's vital to test along with your bank.
3. Check payments Require an effective pay system (PPS).
For checks above ₹50,000, customers will now need to pre-authorize them with the financial institution. This new rule aims to prevent check fraud and make certain cozy transactions.
4. Improved AI Use in wallet PLATFORM' target='_blank' title='digital-Latest Updates, Photos, Videos are a click away, CLICK NOW">digital Banking
Banks will integrate synthetic intelligence (AI) for more advantageous wallet PLATFORM' target='_blank' title='digital-Latest Updates, Photos, Videos are a click away, CLICK NOW">digital protection. anticipate functions like two-issue authentication, biometric verification, and AI-powered chatbots for smoother banking offerings.
5. Changes in credit card rewards
Foremost banks like sbi and IDFC First bank are reducing credit card rewards and advantages. Points earned on transactions via Swiggy, Vistara membership, and different systems will now be lower than earlier.
6. Dormant UPI money owed to be deactivated
Banks will disable inactive UPI money owed that has now not been used for a long term. To avoid deactivation, ensure you use UPI transactions periodically.
7. New taxation rules
The new tax regime will now be the default machine. If taxpayers wish to choose the old tax regime with 80C exemptions, they'll need to pick it out separately.
8. PAN-Aadhaar linking will become obligatory.
Failure to link PAN with Aadhaar will result in higher TDS deductions on dividends and capital gains. Additionally, tax refunds can also get behind schedule for those who've not finished this procedure.
9. Obligatory KYC for Demat and Mutual Fund bills
As in keeping with SEBI's new rules, investors need to update their KYC and nominee details for their Demat and mutual fund money owed. Failing to do so may additionally result in the account being frozen.
These changes are intended to enhance economic protection, save you from fraud, and sell wallet PLATFORM' target='_blank' title='digital-Latest Updates, Photos, Videos are a click away, CLICK NOW">digital banking efficiency. It is really useful to stay updated with your bank's trendy guidelines to avoid any inconvenience.