SBI Savings Plus Account: How It Works, Interest Rates, Minimum Balance Rules
State Bank of India (SBI), the country's largest lender, provides different types of accounts, such as savings account and savings plus account. SBI's savings plus account is a type of savings bank account linked to the multi option deposit (MOD) account. In an SBI savings plus account, any surplus fund above a threshold limit from the savings bank account is transferred automatically to a fixed deposit (FD) opened in the multiples of Rs 1,000, according to SBI's corporate website - sbi.co.in.
Here are 10 things to know about State Bank of India (SBI) savings plus account:
1. SBI's savings plus account can be opened by any individual who is eligible to open savings bank account.
2. The mode of operation can be single, joint or with either or survivor, former or survivor, anyone or survivor, mentioned SBI on its website.
3. A monthly average balance (MAB) requirement is applicable for maintaining SBI's savings plus account. Monthly Average Balance (MAB) is the sum of all the end of day (EOD) closing balance divided by the number of days in that month. Given below are the MAB requirements of SBI savings plus account as per the geographical location where the account is maintained:
| Metro | Urban | Semi-Urban | Rural | |
|---|---|---|---|---|
| MAB (Minimum Average Balance) | Rs. 3000/- | Rs. 3000/- | Rs. 2000/- | Rs. 1000/- |
(As mentioned on sbi.co.in)
4. The rate of interest for SBI's savings plus account is same as applicable to SBI's savings bank account.
5. Any surplus funds retaining a minimum of Rs 25,000 in savings bank (to be set up by the customer) are transferred as fixed deposit (FD) with a minimum of Rs 10,000 and in multiple of Rs 1,000 at one instance, the lender noted.
6. This means that the minimum threshold limit for transfer of multi-option deposit (MOD) account is Rs 35,000.
7. The period of deposit is 1-5 years.
8. All facilities offered to savings bank account holders such as ATM card, mobile banking, internet banking, SMS alerts are available in SBI savings plus account also.
9. Loan against multi-option deposits are also available.
10. Customers can add more to their savings with SBI's savings plus account.
