- SBI's non-maintenance charges are not applicable on all its accounts
- The bank said that 13 crore accounts fall under the exempted category
- There are also some limitations on these accounts
State Bank of India, the biggest lender in the country today said in a press release that the monthly average balance non-maintenance charges are not applicable on all its savings bank accounts. "Prime Minister's Jan Dhan Yojna (PMJDY), Small accounts and Basic Savings Bank Deposit (BSBD) accounts are exempted from MAB requirement and no charges are recovered from these accounts," SBI said in a press release. Out of the 40 crore savings bank accounts that SBI has, 13 crore accounts fall under these exempted category, the state-owned lender said.
Those who want to avoid paying monthly average balance non-maintenance charges, they can convert their savings account to Basic Savings Bank Deposit Account without any cost, SBI further said.
Aimed at encouraging savings without any burden of charges or fees, SBI's Basis Savings Bank Deposit Account is meant for the poorer sections of society, SBI's website said. Eligibility criteria to open the account are same as it is there in case of regular savings bank account. However, the customer cannot have any other savings bank account if he/she has a Basic Savings Bank Deposit Account, SBI said.
There are also some limitations in this account. Customers of these accounts are allowed to do only four free withdrawals in a month, including ATM withdrawals at own and other bank's ATMs and transactions through other modes including RTGS/NEFT/Clearing/Branch cash withdrawal/transfer/internet debits/standing instructions/EMIs debit etc. After the four free ATM withdrawals, customers of Basic Savings Bank Deposit Account will be charged Rs. 50 plus tax for cash withdrawal at an SBI branch, Rs. 20 plus tax at other bank ATMs and Rs. 10 plus tax at SBI ATMs, SBI said.
Here are the salient features of Basic Savings Bank Deposit Account:
Mode of Operation: Singly, jointly, or with either or survivor, former or survivor, anyone or survivor etc. facility.
Available at: All branches
Minimum balance amount: NIL
Maximum balance /amount: No upper limit
Operations in the Account: Using withdrawal forms at branches or through ATMs. Basic RuPayATM-cum-debit card will be issued.
Service Charges: Basic RuPay ATM-cum-Debit card will be issued free of cost and no annual maintenance charge will be applied.
Receipt/ credit of money through electronic payment channels like NEFT/RTGS will be free
Deposit/ collection of cheques drawn by Central/State Government will be free
No charge on activation of inoperative accounts
No account closure charges