1. Come April 1, SBI all set to impose penalty for not maintaining minimum account balance

Come April 1, SBI all set to impose penalty for not maintaining minimum account balance

State Bank of India, India's largest bank, has decided to resume the charge on savings account holders for failing to maintain the monthly average balance in their accounts.

By: | New Delhi | Updated: March 6, 2017 10:35 AM
sbi, state bank of india, sbi customers, charges, bank charges, charges, largest indian bank, india, monthly average balance, sbi resume charges, maturity deposit State Bank of India (PTI)

State Bank of India, India’s largest bank, has decided to resume the charge on savings account holders for failing to maintain the monthly average balance in their accounts. The bank had, according to a PTI report, done away with the minimum balance criteria for savings bank accounts a few years back in a bid to lure new customers. Sources said the service charges for non-maintenance of monthly average balance (MAB) will be revised with effect from April 1, 2017.

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According to information available on the SBI website, the monthly average balance that customers will have to maintain in their savings bank accounts in SBI branches in metropolitan areas is Rs 5,000. In case the shortfall in the monthly average balance is below 50 per cent, then a charge of Rs 50 plus service tax will be levied. If the shortfall is between 50 and 75 per cent, then the account holder will have to pay Rs 75 plus service tax, and if the shortfall in the average balance is more than 75 per cent, then a charge of Rs 100 plus service tax will be levied.

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Similarly, in urban areas SBI customers will be required to maintain a monthly average balance of Rs 3000. If the shortfall in MAB is less than 50 per cent, then a charge of Rs 40 plus service tax will be levied. If the shortfall is between 50 and 75 per cent, then the account holder will have to pay Rs 60 plus service tax, and if the shortfall in the average balance is more than 75 per cent, then a charge of Rs 80 plus service tax will be levied.

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In semi-urban areas, customers will have to maintain a monthly average balance of Rs 2000, while in rural areas, maintaining an MAB of Rs 1000 will be a must, failing which charges will be levied as per the applicable rates in those areas. Meanwhile SBI has reduced interest rates on term deposits maturing between 180 days and one year, and between 456 days and three years with effect from March 1.

sbi, state bank of india, sbi customers, charges, bank charges, charges, largest indian bank, india, monthly average balance, sbi resume charges, maturity deposit

The country’s largest bank by assets will now pay 6.5% on deposits with maturities between 180 days and less than one year, and 6.75% on those maturing between 456 days and less than three years. Earlier, SBI used to pay 6.75% on deposits maturing between 180 days and 210 days, 7% on those maturing between 211 days and less than a year, 6.95% on deposits maturing between 456 days and under two years, and 6.85% on those maturing between two years and less than three years.

  1. D
    Divyesh
    Oct 13, 2017 at 2:37 pm
    apne khudke sab note band vale idea flop ho gaye to sidhi najar public ke paiso par pdi usko ye nai pata ke sab paise vale nai hote .middle class ke baare me bhi sochna chahiye pehle to free me aaccount kholvaye 0 rs charge ab bol raha hai balance maintain karo varna penalty lagegi aur penalty bhi kesi tax vali ...........
    Reply
    1. D
      Divyesh
      Oct 13, 2017 at 2:33 pm
      kya bakvas ghar ke rule bana ye ja rahe hai 1 bar ghar ghar me ja kar dekhe ghar ka rashan kaise maintain hota hai ghar ka expense kaise mantain karna hai vo samaj nai aa raha hai aur yaha jaha bank ka balance maintain karo warna charge lag jayega sahi me koi pm ya cm padha likha hona chahi ye taki hisab kaise maintain karna vo aa sake aur metro lane se vikas nai hoga
      Reply
      1. P
        Prakash
        May 13, 2017 at 12:54 pm
        anybody tell any other bank with zero minimum balance maintanence and transaction free bank lists. I want to quit Sbi and open a new bank account now, I will get high ry in 3 months and face SBI. One more question can A individual open a ry account directly going to a bank? Please answer this will be helpful for most of the people. s: askqueries /sbi-account-closing-charges/
        Reply
        1. Mriganka Mukherjee
          Jun 28, 2017 at 3:06 pm
          You can try Adhar otp based account in RBL, Kotak Mahindra(811).. There digital transaction are absolutely free..
          Reply
        2. Hasan taj
          May 11, 2017 at 2:09 pm
          I have question to bank that we have so manny peaple in india Who is earning ten or less than ten thousend per month how they can maintain his acount, what is the bloodyy nonsence decision
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          1. B
            Bijoy
            May 6, 2017 at 8:29 am
            This government is targeting the common man.problem is our PM IS VORACIOUS speaker and the people are mesmerised with his speech and think whatever he is doing is good. Otherwise only big talks and no actions. HE IS BOL BACHAN and nothing else.
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            1. L
              ljb
              May 5, 2017 at 2:05 pm
              For a student like me who come from the poor family that has only mother to support my education from her daily wages how can i manage for that minimum balance when our daily food also we get to eat only to survive..why goverment put a heavy burden like this in the poorer shoulder???????? Why???
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              1. S
                sabiha A
                May 3, 2017 at 7:52 pm
                If people supported you in demonetisation it doesn't mean we will support u for these kind of rules this is just meaningless....we are just a common man and we don't have that much of amount to keep 5000 balance in our account monthly... Please don't play games with common and poor people.otherwise We don't have other option except to close the bank account.
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                  amit
                  May 1, 2017 at 3:24 pm
                  If people supported you in demonetization it doesn't mean we will support u for these kind of rules this is just meaningless....we are just a common man and we don't have that much of ry to keep 5000 balance in our account monthly... Please don't play games with common and poor people.otherwise We don't have other option except to close the bank account.....
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                  1. R
                    Rkmami
                    Apr 21, 2017 at 9:27 am
                    Dear PM..simply looting money from customers (public)by bank as a (poor) service charge..most of the ATM shutters down for no currency in their stock..will you charge fine against the banker for not maintaing the currency in their side , the public only fool is it??
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                      avinash
                      Mar 6, 2017 at 10:25 am
                      Dear Modi Government,I am saying Modi government because all elections are being fought with the name of him.Your move towards digitization and corruption is appreciable but ground reality seems different.Banks are restricting on transaction to boost digitization and to encourage people to use debit/credit cards or net banking but they are charging service tax on debit and credit card swipes then how government is thinking people could accept debit and credit card for day to day transactions?Are we ready to accept online and plastic money transaction where most of the cases related to debit card frauds /phishing are still pending ?Are our banks more powerfull in security area?We need to work on security first then we need to remove all charges on debit/credit card transactions......
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                      1. B
                        Bv
                        Mar 3, 2017 at 5:21 pm
                        Before deducting the amount for various reasons the bank should inform the customer and allow the concerned to take corrective action. But it never happens they keep deducting left and right and on a fine day the poor customer when he comes to update his p book then only he comes to know how much he has lost and the standard answer he gets is THE SYSTEM DOES IT WE HAVE NO CONTROL (funny). Hope the banks wake up from their dictator atude.
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                        1. G
                          GUDI RAJU
                          Mar 3, 2017 at 4:37 pm
                          what about students staying away from home and depending on monthly money send by their parents
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                          1. J
                            jhon
                            Mar 6, 2017 at 9:09 am
                            it was before also charged by all other banks..not a new thing from SBI
                            Reply
                            1. J
                              Johnson
                              Mar 3, 2017 at 3:42 pm
                              It is all about squeezing, compelling and threatening people in the name of digitization and not providing the facilities by which people naturally attracted to banking and digital transactions over cash transactions.
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                              1. H
                                hari
                                Mar 3, 2017 at 5:53 pm
                                Come April 1, SBI all set to impose penalty for not maintaining minimum account balanceMODI is the man to BLAME. No one else, He is either supporting this loot or he has ordered this loot. Let him speak out the truth. We the common man of India, do not need any bank account. Mr.Modi, why are you imposing this useless thing upon us. It's only to loot us and give that money to the banks in the form of transaction charges and processing charges and ..... and ..... and ....Make us take bank accountMake us deposit all our hard earned money in banksMake us take cardsMake us pay heavily for each and every money we transactSuffocate all Non-Bjp State Governments and accuse those State Governments of not providing facilities to the people. Central Govt budget did nothing for Kerala.Lie to people that they'll bring back black money from swiss banks. Then fool the poor people by demonetization and raiding the small guys with black and that too inside India.Manmohan was better ...
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                                1. M
                                  Mohit
                                  Mar 20, 2017 at 4:05 pm
                                  Respected Modi Sir,We are requesting to you , You can allow many transaction without fees , I am agree with MAB , but please provide free transactions
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                                  1. P
                                    prashant
                                    Mar 3, 2017 at 3:36 pm
                                    How bad 1 step forward and then 2 steps backward..These banks plush with money after DeMo still want to charge citizens... If this applies for Jan Dhan Accounts it will be debacle for financial inclusion programme , because daily laborers cannot maintain specified limit. They will choose to leave the system.GOI and RBI please stop this...
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                                    1. R
                                      rajeeb
                                      Mar 5, 2017 at 4:27 am
                                      Is it applicable to ry accounts
                                      Reply
                                      1. F
                                        freak
                                        Mar 3, 2017 at 3:41 pm
                                        excluding jan dhan, BSBDA u got read proparly
                                        Reply
                                        1. S
                                          sc
                                          Mar 4, 2017 at 9:13 am
                                          Again the reduction of interests on fixed deposits.Around 40% people who are senior citizens live on the interest they get on the fixed deposits which are basically their life's savings.What pleasure the banks, the RBI, the MPC, the finance ministry and the prime minister get in keeping them starved. The prime minister can as well selectively send them some cyanide so that they can commit suicide and get a permanent relief from this agony and torture.
                                          Reply
                                          1. S
                                            sc
                                            Mar 4, 2017 at 9:51 am
                                            Stop giving "GYAN" to children.Be an adult first.Remember one thing, govt. be it yours or mine, is extremely fast to pick your pocket, but abysmally slow when it comes to giving you anything in return.
                                            Reply
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