We all have bank accounts. There are two types of accounts. Saving Account and Current Account. Most of everyone has a savings account, and those who run businesses have both current and savings accounts. If you do a job, then you get a salary account. There is no need to maintain balance in the salary account, a salary account is only a saving account, but benefits are different.
Many times our account goes negative, so why does this happen? Let’s know.
My Bank Account is Negative 1000:
How Can my Bank Account Be Negative?
Would this ever happen to you that your account shows a negative balance? And the question will come to mind why is my account negative, or my account shows a negative Balance… There are many reasons why your account shows a negative balance.
Why does this happen?
If you have a savings account and according to the Bank’s rules, the Maintain balance of your account is Rs 10,000. So you have to keep that amount in the bank account and have to maintain it regularly. If you use it for some reason and the balance is not maintained, you incur some charges. How much of those charges are the Bank already mentions at the time of opening the account.
Maintain Balance are different of every Banks also depends on locations of banks, Like Metro, Urban and Semi Urban areas.
Imagine if you have withdrawn 10,000 amount from the entire account and now there is 0 balance or less than maintain amount in your bank account for few days. Whenever you deposit money in the bank, then your amount will be deposited after deducting the charges. And these charges with taxes may be less and more than 500, 750, 1000 and more. Few Bank charges more because these banks provides high service.
Also, when you order a new debit card, the debit card charges are deducted from your bank account. Therefore before purchasing a new debit or credit card, read the card details
Does negative balance affect credit score?
Can low balance lead to a lower CIBIL score? No, if you have not taken any loan, do not have a credit card bill, then your CIBIL score will not spoil. CIBIL score gets bad when you don’t pay the credit card bills on time or don’t pay the loan amount.
Few RBI Rules:
There are some rules and regulations of RBI behind this. RBI formulates and monitors the rules and regulations of the bank.
According to the rules of RBI, the Bank cannot make anyone’s account negative. Bank can levy a penalty if the user does not maintain the balance or didn’t pay any previous charges. If user account is zero, then the bank cannot do it negative. And RBI also says that if the account holder cannot maintain the balance, then inform him by mail or contact. These were some guidelines from RBI for banks.
So now again question comes in mind How Can my Bank Account Be Negative?
Nowdays all banks use automated systems. When you withdraw money, that amount minus from your account and shows the remaining amount in the statement. Same way, when you do not maintain the balance, then the charges are deducted. If there is no balance in the account, then charges are deducted, and a negative balance is shown.
Like Balance was 150 and Charges are 450 so amount will shown -300.
If your account shows negative, then you can go to the concerned branch and talk about this subject, or you can also close the account without paying any charges. Also you can request them to way off your charges.
What happens if I don’t use my bank account for a long time?
If your account was showing negative balance months ago and you have not used it since then, and now you have to deposit money in the bank account. If the account is not used for a long time, then your account will be deactivated or frozen. So you can activate the bank account by visiting the branch, And you also you will get information about the account statement from there. So that you maybe no need to pay the extra charges.
Get Help With your Bank Representative:
Whenever this happens to you, which means that there are charges, then you should talk to your bank representative. They will tell you why this happened. And if you speak well, you might not even have to pay those charges.
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