Today, everyone has a bank account. But, sometimes you have to open more than one account. This is often the case with employees. In such a situation, they forget to close the account due to change of location. But, if you don't know that having more than one bank account causes many problems, then this information is for you.
According to bank rules, if no transaction has taken place in an account for 12 months, the bank classifies it as an Inactive Account. If there is no transaction in this account for the next 24 months, the bank will close the account. Many do not understand the damage that can be done. However, all these accounts make the process of filing your Income Tax Return difficult. Also, it has a bad effect on your CIBIL score.
Lack of Minimum Balance Score is a big loss
Many people keep a separate salary and savings account. So many times money is not transacted in the account. In this case, the bank account is converted from current to savings. Later, the bank may also impose a penalty on you for not fulfilling the minimum balance score in the account. In that case, you should close your account as soon as possible. You will not have to pay any penalty for closing the account.
Nowadays your PAN card and Aadhar card information is taken at every place where you open an account. In that case, penalties for not using the account can have a detrimental effect on your credit score. In addition, the process of paying income tax is also difficult. Therefore, try to close such bank account as soon as possible. To close a bank account soon, you need to submit Delinking and Bank Closure Form. After that following some procedure, your account will be closed.