A new range of banking products has been developed for low-income individuals receiving social support from the government. They will have the opportunity to open bank accounts and deposits on special, more favorable conditions. The draft law about social bank accounts and deposits was approved by the State Duma in the second and third readings.
A social deposit amount may not exceed ₽50,000. The interest rate on such a deposit will be equal to the maximum rate offered to individuals by a particular bank on deposits for up to one year, except promotional deposits. This will improve the protection of low-income individuals’ savings from inflation. Furthermore, a social deposit can be topped up any time (to ₽50,000) and, if needs be, the money may be withdrawn without a decrease in the interest rate.
As to a social bank account, the interest rate on the balance of up to ₽50,000 shall be no less than half the Bank of Russia key rate. For amounts exceeding ₽50,000, interest will be accrued in accordance with the contract concluded. Interest can be received every month. Banks may not charge any fees for servicing such accounts, as well as for money transfers and payments through them within the monthly limit of ₽20,000.
A social bank deposit is opened for one year. If the owner’s status as a social support recipient does not change during this time, the deposit will be extended for the same term. As to a social account, special conditions will also remain effective if the holder keeps the right to social support. By law, a person may only have one such account or deposit. Banks will control compliance with this limit using the Register of Social Bank Accounts and Deposits.
Contracts for such products will be concluded with clients online via the Public Services Portal. Banks will thus receive verified information about an individual’s right to social support and accordingly to these new financial instruments while opening such an account or deposit fastly, reliably, and safely for both parties.
For systemically important banks, this law is expected to become effective on 1 July 2025. Other credit institutions shall launch these new banking products from 1 January 2027.
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