From next year, IPPB account holders will have to incur costs when withdrawing cash and when depositing cash into their accounts, if they exceed the prescribed limit.
India Post Payments Bank (IPPB) account holders will incur charges when withdrawing cash and depositing cash to their accounts from the following year, if they exceed the prescribed limit. IPPB will charge fees on cash deposit and withdrawal transactions, subject to limits, from January 1, 2022.
In the basic savings account, cash withdrawal will remain free for up to 4 transactions per month and after that the withdrawal fee will be 0.50% of the value subject to a minimum of Rs. 25 by operation. Cash deposit up to any amount will remain free in the Basic Savings Account.
In savings accounts (other than Basic SA) and current, cash withdrawal will be free up to Rs. 25,000 per month and thereafter, after the free limit, a fee of 0.50% of the value subject to a minimum of Rs. 25 per transaction will be charged.
In savings (other than Basic SA) and current accounts, cash deposits will be free up to Rs. 10,000 per month and thereafter a charge of 0.50% of the value subject to a minimum of Rs. 25 per transaction will be charged.
The actual costs will be calculated after taking into account the GST or the CESS which will be levied at the applicable rates.
Previously, India Post Payments Bank revised its home banking charges as of August 1, 2021, which is Rs 20 for each request per customer.
As of July 1, 2021, the interest rate on savings accounts has been revised based on the account balance. The account balance up to Rs 1 lakh has been revised to 2.5% per annum while on the balance above Rs 1 lakh up to Rs 2 lakh there is no change and the account holders will continue to earn 2.75% per year. The payment frequency is quarterly for account holders.
A unique feature of India Post Payments Bank savings account is its “bank with QR card”. The biggest advantage of the QR card is that there is no need to remember the account number or password to perform banking activities as authentication can be done using biometrics of the account holder. You can also take advantage of the NEFT, IMPS, RTGS fund transfer methods via the IPPB account.
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