Salary Account Scheme: Good news for central government employees. The Department of Financial Services (DFS), under the Ministry of Finance, Government of India, has launched a special ‘Composite Salary Account Package’ for central government employees. This new arrangement aims to provide employees with the best in banking, insurance, and card services through a single account.
Who can open this special account?
This facility is available to all Group A, B, and C central government employees. The Ministry of Finance has encouraged all eligible employees to upgrade or migrate their existing salary accounts through public sector banks to this new package. Currently, the policy does not clarify the status of Group D employees and autonomous bodies.
This composite account offers several financial benefits to employees:
There’s no need to maintain a minimum balance in this account. The central government received a New Year’s gift! Now, you can enjoy the best insurance and banking services in a single account: RTGS, NEFT, and UPI Transactions through this card are completely free. Furthermore, cheque facility is also free.
– Special discounts will be offered on interest rates for home loans, car loans, education loans, and personal loans. Loan processing fees will also be subsidized.
– Locker rent is waived with this account.
– It also includes banking benefits for other family members.
Insurance protection: Cover of crores
The biggest highlight of this package is its insurance cover, which provides financial security to the employee’s family:
– Personal Accident Cover: Accidental death insurance cover up to Rs 1.50 crore.
– Air Accident Cover: Cover up to Rs 2 crore in case of an air accident.
– Disability Cover: Protection up to Rs 1.50 crore in case of total or partial disability.
– Term Life Insurance: The account comes with in-built term insurance up to Rs 20 lakh, which can also be increased through top-up.
– Health Insurance: A base health plan and additional top-up facility is provided for the employee and his family.
Card and airport lounge access
The debit and credit cards associated with this account offer exclusive rewards programs and cashback. The most attractive feature is airport lounge access, which depends on the employee’s cadre and bank…
– Group C Employees: For example, Central Bank of India allows 4 domestic and 2 international lounge visits in a year.
– Group A and B employees: These officers can avail the facility of 2 domestic and 2 international lounge visits every quarter.
This step is aimed at strengthening the financial position of central government employees and encouraging them to embrace digital banking. Employees can compare the features of different banks and choose their bank based on their convenience.
Important Update for Central Government Employees
The Composite Salary Account Package has been launched on 14.01.2026 by Sh. M. Nagaraju, Secretary, DFS, in association with all Public Sector Banks.
The launch event was attended by Chairman SBI, MD & CEOs of all Nationalized… pic.twitter.com/XnDxUj83lX
— DFS (@DFS_India) January 14, 2026
