Why bank account is blocked

A bank account can be blocked or frozen for several regulatory and security reasons. Common causes include:

• KYC Non-compliance: Failing to update mandatory documents like Aadhaar or PAN as required by RBI guidelines.
• Inactivity: If no customer-initiated transactions occur for over 24 months, the account is marked as dormant.
• Suspicious Activity: Unusual transaction patterns or large transfers flagged for fraud prevention or anti-money laundering checks.
• Legal Mandates: Directives from the Cyber Cell, Income Tax Department, or specific court orders.
• Unpaid Dues: Recovery actions for significantly defaulted loan EMIs or credit card bills.