New Delhi, Dec. 5 -- The Banking Laws (Amendment) Act, 2025 has introduced a series of reforms aimed at strengthening governance, improving depositor protection and enhancing audit quality across the banking sector.

The amendments, notified in two phases on August 1 and November 1, also harmonise reporting timelines for more consistent compliance with Reserve Bank of India (RBI) norms.

Rules Updated and Simplified

The Act modernises nomination rules by allowing depositors to name up to four nominees through simultaneous or successive options, enabling smoother claim settlements.

It also updates the definition of 'substantial interest' from the decades-old Rs 5 lakh limit to Rs 2 crore to strengthen governance scrutiny.

Reforms and Ch...