State-run Union Bank of India has reversed the amount deducted by the bank due to non-maintenance of minimum balance by a migrant worker.
The lender reversed the funds after some users pointed out in social media that a seasonal migrant worker, having an account with Union Bank, was in need for funds and ₹800 was transferred to the person’s account. However, the bank deducted most of the amount deposited under the category, ‘general charges and recovery.’
“When the matter came to our notice, we reversed the money that was debited,” a senior official from the bank said.
The bank said since the account was not a zero balance account, there was a minimum balance requirement. Since minimum balance was not maintained for several months, charges were automatically deducted.
Following the economic lockdown, Indian Banks’ Association had asked it member banks to waive off minimum balance requirement charges till June 30. Banks are also allowing customers to withdraw cash from other banks automated teller machines as many times, for free, till June 30.
