₹19,000 Crore Via Minimum Balance Charges? Raghav Chadha Questions Banks

In a powerful speech in Parliament, Raghav Chadha raises serious concerns over the burden of minimum account balance (MAB) penalties on ordinary citizens. Citing government data, he highlights that banks have collected a staggering ₹19,000 crore in penalties over the past three financial years, questioning whether the banking system is unfairly targeting the poorest account holders. Through a compelling example of a daily wage labourer, Chadha illustrates how these charges erode small savings and push vulnerable individuals into further financial stress. He argues that bank accounts, meant to provide financial security, are instead becoming a source of hardship, effectively punishing poverty. Calling for reform, he urges the government to waive off such penalties in the interest of true financial inclusion, emphasising the need to protect small savers rather than penalise them.