SBI Hike Minimum Balance for Savings Accounts

SBI Hike Minimum Balance for Savings Accounts


SBI Hike Minimum Balance for Savings Accounts

India’s largest bank, State Bank of India(SBI) hiked monthly average balnce(MAB) for its saving account holders beside increase in charges for its other services. SBI has 31 crore savings bank accounts. MAB will not be applicable for Jan Dhan accounts. SBI has 11 crore Jan Dhan Accounts. SBI suspended this charge in July 2012 to increase its customer base. The charges have been reintroduced starting 1 April 2017.

Now MAB for metro branches is Rs. 5000. The six metros are Delhi, Mumbai, Kolkata, Chennai, Banglore and Hydrabad. For urban and semi-urban branches MAB is Rs. 3000 and Rs. 2000 respectively. In case od rurual branches MAB is Rs 1000.

Non-maintenance of minimum balance will attract a penality ranging from Rs. 20(rural branches) to Rs. 100(metro cities). The charges will be application for saving account holders of recently merged five associate banks of SBI – State Bank of Bikaner And Jaipur(SBBJ), State Bank of Mysore(SBM), State Bank of Travancore(SBT), State Bank of Patiala(SBP), State Bank of Hydrabad(SBH) and Bharatiya Mahila Bank.

SBI has increased locker rent also and limited the number of free locker usage to 12 in a year. After this limit customer has to pay Rs. 100 plus service tax per visit..

Cash withdrawal is free upto five times from SBI ATMs and upto three times from other bank ATMs. After this there will be charge of Rs. 10 for SBI ATM and Rs. 20 for other bank ATM. Annual charges for debit cards range from Rs. 125 to Rs. 300. A customer is allowed to do unlimited ATM transactions if someone maintain Rs. 25,000 in savings account.

Cash deposit can be done three times in a month free of charge. Every cash deposit transaction beyond the bank will levy charge of Rs 50 plus service tax. The practice of charging customer for branch transactions is globally accepted. After merger of SBI with its five associate banks and Bharatiya Mahila Bank, State Bank of India stands among top 50 banks of world with respect to asset base.

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