The State Bank of India (SBI), the nation’s largest bank, on Monday revised the service charges for maintaining monthly average balance (MAB) as well as the charges for non-maintenance of MAB. The bank has also decided to treat the metro and urban centres in the same category and the requirement of MAB in metro centres stands reduced to Rs 3,000 from Rs 5,000 earlier. For non-maintenance of MAB, the charges have also been revised downward ranging from 20% to 50% across all population groups and categories. The charges at semi-urban and rural centres range from Rs 20 to Rs 40 and at urban and metro centres from Rs 30 to Rs 50. The revised MAB requirement and charges will become applicable from the month of October 2017.
The bank also stated that financial inclusion, including Jan Dhan, accounts have never been subject to any charges. In respect of the rest, it has now been decided to exempt the pensioners, beneficiaries of social benefits from the government and accounts of minors. Therefore, this is in addition to the already exempted categories under PMJDY accounts and Basic Savings Bank Deposits Accounts (BSBD).
The bank said that it has a very strong deposit franchise having 42 crore savings bank accounts, out of which 13 crore accounts under PMJDY / BSBD were already exempted. The above revision is likely to benefit another 5 crore account holders. The bank also clarified that customers always have the option of converting the regular savings bank account to BSBD account, free of charge, in case they desire to avail basic savings bank facilities without being subject to maintain MAB.