STRATEGICALLY good decision by the SBP for provision of banking facilities to the small income group. SBP vide BPRD circular no.07 of 2011 issued directives for the commercial banks to stop the process of recovering of service charges from the PLS deposit accounts. SBP vide BPD circular no.23 of July 4, 2003, allowing banks to recover service charges on deposits accounts commensurate with the services provided by them. Service charges badly affected the saving of small people. The concept of saving account in the bank was to increase the savings. The purpose of saving account for profit purpose. Amount will be increased with the passage of time. It was a quite shock for the layman which he/she has come to know that his/her account balance is zero after deduction of service charges Rs.50 plus FED every month. The customer urged bad remarks for the banking sector and banker shift all toward policy of Government regarding service charges in order to normalize the customer. Resultantly, customers advised the banks to immediately close their accounts. Another headache for the customer, banker demanded account closing charges for closure of account in addition to pain of recovery of service charges. So, in this way long-lasting relationship and trust of the customer had come an end. So the main purpose of the bank to induce people for saving was become dead. If we say Service charges prove as a weapon to cut relationship from the bank of small income group will not be wrong. In addition to service charges, initial amount was increased to open the account. It was also bad decision for the small income people to avail banking facilities. To convert into Regular Saving account. However no deposit will be required for opening of accounts by i.Mustahkeen of zakat, ii, students iii. Employees of Government or semi government institutions for salary and pension purpose. No Doubt, State Bank of Pakistan has taken the very good decision for the interest of small income people. It will attract the small income people to develop the saving concept which is the actual theme to establish the bank by Government of Pakistan. Ratio to spend will be reduced. It will put a great and positive economic impact on the developing economy of Pakistan. Lastly we are thankful to the professional management of State Bank of Pakistan for all this. But we think it is the start not the end for well being of layman of our country from SBP. The writer is B.Com, MBA (Finance), DAIBP (IBP)