Banks Must Provide Mobile Banking for Basic Accounts from April 2026: RBI

The Reserve Bank of India (RBI) has made it mandatory for banks to offer mobile and internet banking services for Basic Savings Bank Deposit (BSBD) accounts from April 1, 2026. This move aims to ensure broader access to affordable banking facilities without discrimination. 

RBI Directs Free Digital Services for BSBD Accounts 

Starting April 1, 2026, all banks must offer internet and mobile banking facilities to BSBD account holders. RBI has clarified that banks cannot limit these services or place charges for cash deposits made via branches, ATMs, or business correspondents.  

This step enhances accessibility for all citizens, considering BSBD accounts are aimed primarily at financial inclusion. 

These updated guidelines form part of the RBI’s revised directions on BSBD accounts and are designed to prevent discrimination based on customer profiles such as income or background. The central bank firmly rejected bank proposals to fix eligibility norms, reiterating that BSBD accounts must remain universally accessible. 

Restrictions on Services Cannot Be Justified Using Security Risks 

Banks had expressed concerns that extending internet and mobile banking access to BSBD accounts may invite misuse, such as through money mules.  

However, RBI dismissed these apprehensions, stating that BSBD accounts are governed by the same Know Your Customer (KYC) and anti-money laundering rules as other savings accounts. Therefore, any disparity in services is inconsistent with regulatory practice. 

Read More: RBI Retains SBI, HDFC Bank, and ICICI Bank as India’s Systemically Important Banks! 

Other Key Provisions and Clarifications 

Minors’ BSBD accounts will adhere to existing rules for minors holding standard savings accounts. Additionally, a holder cannot open more than 1 BSBD account across all banks.  

Banks must obtain a declaration from customers affirming they do not possess another BSBD account when converting an existing account into one. RBI may soon develop a national-level registry to manage BSBD account duplication concerns. 

Conclusion 

RBI’s mandate for digital inclusion in BSBD accounts from April 2026 reaffirms its commitment to accessible and equitable banking. This step eliminates service limitations and strengthens customer rights under uniform compliance protocols. 

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