1. SBI collected Rs 1771 crore as charges from below minimum balance accounts in April-November

SBI collected Rs 1771 crore as charges from below minimum balance accounts in April-November

The State Bank of India had collected whopping Rs 1,771 crore during April-November 2017 as charges from below minimum balance accounts.

By: | New Delhi | Updated: January 2, 2018 9:59 AM
sbi, state bank of india, monthly average balance, mab, april, September, Pradhan Mantri Jan Dhan Yojana, BPLR, MCLR The State Bank of India had collected whopping Rs 1,771 crore during April-November 2017 as charges from below minimum balance accounts.

The State Bank of India had collected whopping Rs 1,771 crore during April-November 2017 as charges from below minimum balance accounts. The charges were slapped on customers who did not maintain their minimum monthly average balance (MAB) in their accounts, according to reports. It has been learnt that the amount is more than the bank’s July-September quarter net profit of Rs 1,581.55 crore and nearly half of the Rs 3,586 crore it earned as net profit from April to September.

SBI did not collect any money from levy of charges for non-maintenance of MAB during the 2016-17 financial year. The charges were re-introduced after a gap of five years during the current fiscal. The bank has a total of 42 crore savings bank accounts of which 13 crore are Basic Savings Bank Deposits Accounts and Pradhan Mantri Jan Dhan Yojana accounts, both categories exempted from levy of such charges.

SBI yesterday reduced the base rate and benchmark prime lending rates (BPLR) by 30 basis points each, which will benefit nearly 80 lakh customers on the old pricing regime. The nation’s largest lender revised down the base rate to 8.65 per cent for existing customers from 8.95 per cent, while the BPLR is down from 13.70 per cent to 13.40 per cent. The bank however did not change the marginal cost of funds-based lending rate (MCLR) which would have brought down the cost for all borrowers. The one-year MCLR of the bank stands unchanged at 7.95 per cent. The new rates will be effective yesterday, the bank said in a statement.

“We had done the rate review in the last week of December, and based on whatever deposits rates we had, our base rate was brought down by 30 basis points to 8.65 per cent now,” managing director for retail and digital banking, PK Gupta told reporters in a concall. Nearly 80 lakh customers who are on the old lending rate regimes and have not moved to MCLR, will be benefited from this reduction. Banks review MCLR on a monthly basis, while the base rate revision happens once a quarter.

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  1. C
    Chn reddy
    Jan 3, 2018 at 12:37 pm
    This is nothing but LOOTING innocents
    1. I
      Jan 3, 2018 at 10:16 am
      Such an appalling state we are in . Banks are making money by slapping charges for not maintaining minimum balance . If the minimum balance is even 5000 , how can a daily wage worker who earns 200 rupees can maintain it . So the worker will put all the money whatever he/she earns to the bank. And I have seen SBI asking to maintain minimum balance of more than a lakh . How is it even possible for a lower income families .So a country where only 10 of the population are rich can maintain the minimum balance and rest 90 can’t . Has the government thought of it even before imposing minimum balance charges. SBI is flashing his revenue by collecting money from the poor . Why can’t they go collect from rich defaulters that would be a start .Country wants us to go cashless want all our money to be in bank and if I can’t afford to maintain minimum balance they ll fine me. I would rather not put the money in bank loose it . Such a ed up state the country is heading to.
      1. S
        Jan 3, 2018 at 9:51 am
        People should realise and deactivate SBI accounts immediately only then bank officials will realise that without our support n money they are nothing
        1. N
          Nan sat
          Jan 3, 2018 at 6:40 am
          Money taken away from the poor will be disturbed among the rich. This is our modern India headed by the new Robin Hood. Politicians across all parties are making mockery of the common man by making rules/passing bills which will only benefit themselves and the ultra rich.
          1. C
            Common man
            Jan 3, 2018 at 4:54 am
            you don't provide proper service to customers you don't have decent customer care who even dont even know how to speak with customer. people have no option hence they are getting forced to use card digital payment as only medium for transactions. your Atms are not working. If Atm is working then there is no money in the atm. If Atm is working and there is money then I cant withdraw becoz it has only 2000 rupee note and i dont have that much in my account. I decide to use your card in other bank atm I get message for extra charges. I'm charged for non maintenance of balance, I'm Charged 60 rs as SMS charges every 3 months. I.m Charged for 150 rs as Annual ATM fee. I'm getting charged more than the interest I get from the bank. I.m getting charged for keeping my hard earn money in the bank. (should I keep it in bank or not) Is the customer benefited from the bank or bank is benefited from the customer.
            1. Janaki Ramakrishnan
              Jan 3, 2018 at 3:12 am
              This is not a matter of pride for the leading nationalised Bank . It’s appalling that the country has come to this state that it has to resort to such means to run its business . Do they understand that a minimum balance is far fetched in an economy where daily wages can be as much as Rs.100 ? I was not baffled by this rule of the min balance as it showed vividly as to how far from reality our polity and the bureaucracy have been ! I ask ‘ sab ka Saaath and whose Vikas is it ‘ please ?
              1. S
                Jan 3, 2018 at 12:22 am
                What the hell? The bank is lending and losing money to business men like mallya and recovering those losses from common people like us.... This is unacceptable.... we need to protest it .... or we should stop the relationship with SBI..... this is frustrating to see the bank loot money from us....
                1. Srikanth Selom
                  Jan 3, 2018 at 12:19 am
                  Recently I hear an old man crying at a bank he saves 200 bucks per month and he use his atm to withdraw a hundred and use it. And these banks ed not maintaining minimum due and deducted all the amount that he had.old mans inner voice can’t save those money at home as he was scared that modi ji will ban the 100 rs notes. Now the Sbi bank have collected all the money from him. I raise my voice to give some accounts to people who do agriculture and save small amounts and charge them at all.Don’t hit at their stomach.
                  1. S
                    Jan 2, 2018 at 7:50 pm
                    Modi, is this Vikas you were talking about. Monthly expenditure is far more than the monthly income for 80 of Indian population. How could u expect to maintain balance when they are always on some loans. What Mallya has done to SBI, the same is done to the poor by SBI. Both are looting. SAD.
                    1. Svims Medicine
                      Jan 2, 2018 at 4:22 pm
                      1. Kiran MG
                        Jan 2, 2018 at 3:15 pm
                        This money colllected from poor innocent people. If there is a change in maintaining min balance in AC, why its not informed to customer. This is not correct way to make money. When most of these persons who lost hard earned money Why there was less amount in min balance. This is completely unacceptable
                        1. saidinesh kottakota
                          Jan 2, 2018 at 1:46 pm
                          Again the sbi gave to vijay malya and robbed from middle class family. How dirty the policies and government and we make shame on us
                          1. Purna Chandra
                            Jan 2, 2018 at 1:34 pm
                            For a nationalised bank having its branch in every corner of dis country pinching out a poor mans money is nothing but daylight robbery where is d concept of zero balance gone.....
                            1. Madhu Tyagi
                              Jan 2, 2018 at 12:40 pm
                              Unfortunate the poor is getting punished for being poor not having money reminds me of Suki Lala of Mother India so painful that the main bank of common poor man who was made to open account on the name of Aadhaar etc is not being penalised for having the same Government #PMModi to sleeping this money should certainly be returned to the poor I’m specifying I do not have any banking with SBI and I’m happy that way
                              1. Ramaguru Prasad Jakkala
                                Jan 2, 2018 at 11:03 am
                                Think of all other banks who charge more than SBI, how much customer's money they might have eaten, just like that. This needs to end.
                                1. K
                                  kameswara rao
                                  Jan 2, 2018 at 10:06 am
                                  And these fines, so collected mainly from small customers, will be given as non-repayable loans to the greats like Mr Vijay Mallaya and other large corporates. This is how our Banking system works in India!!
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