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Key financial changes in June 2025: Aadhaar, UPI, FD rates & more
Starting in June, a host of financial changes could affect your savings, spending, and investments. Rules around mutual fund transactions are being tightened, Aadhaar updates will no longer be free, and banks are tweaking credit card benefits and fixed deposit rates. UPI transactions will also see added transparency measures.Here's a round-up of what to watch out for this month.
Free Aadhaar updates deadline
The Unique Identification Authority of India (UIDAI) has announced that the facility to update Aadhaar details online, such as address or identity proof, will remain free only until June 14, 2025. After this date, users will need to pay a fee for updates, even online. Users are advised to log into the myAadhaar portal and ensure their details are accurate.
Form 16 must be issued by June 15
Employers must issue Form 16, the TDS certificate on salary, by June 15. This is a key document required for filing income tax returns (ITR) and reconciling taxes paid. Employees are advised to check with their HR or payroll team if they haven't received it by the deadline.
Sebi's new cut-off timings for overnight mutual funds
Starting June 1, the Securities and Exchange Board of India (SEBI) has revised the cut-off timings for transactions in overnight mutual fund schemes:
3 PM for offline transactions
These changes aim to standardise NAV applicability and improve fund management processes. Investors should plan redemptions and investments accordingly to avoid last-minute surprises.
UPI beneficiary name must be verified, effective June 30
The NPCI has mandated that from June 30, all UPI apps must display the verified name of the beneficiary during transactions. This rule is designed to reduce fraud and misdirected payments by ensuring greater clarity and trust in peer-to-peer transfers.
Axis Bank credit card changes, effective June 20
Axis Bank will introduce a phased update to its Rewards credit card line from June 20, 2025. The changes include:
New reward point structures
Revised cashback rates
Updated lounge access rules
Reclassification of eligible spending categories
Customers should review the updated terms to make the most of their card benefits.
HDFC Bank lounge access policy, changing June 10
From June 10, HDFC Bank's Tata Neu Infinity and Tata Neu Plus credit cardholders will no longer get automatic lounge access through card swipes. Instead, lounge access will be available via vouchers, issued based on quarterly spending milestones. Users should track spending to qualify for these benefits.
Changing FD interest rates
Several banks have adjusted their fixed deposit (FD) interest rates effective June 1:
ICICI Bank has reduced rates by up to 20 basis points on select tenures. Senior citizens now earn a maximum of 7.35 per cent.
Suryoday Small Finance Bank has cut its top rate for senior citizens from 9.1 per cent to 8.4 per cent for 5-year FDs.
Depositors are advised to check the revised rates and consider laddering FDs or looking at small finance banks for better returns.
Plan ahead for August: UPI usage caps incoming
Though not effective this month, it's worth noting that from August 1, NPCI will restrict UPI balance enquiries and mandate specific hours for processing UPI autopay mandates. These changes aim to ease server load and improve performance during peak usage.
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