March 13: Banking behemoth State Bank of India (SBI) has substantially reduced charges for non-maintenance of Average Monthly Balance (AMB) in savings accounts. The revised charges will be effective from April 1, 2018. The banks has said that the step was taken after feedback from various stakeholders.
The charges for non-maintenance of AMB for customers in metro and urban centres have been reduced from a maximum of Rs 50 per month plus GST to Rs 15 per month plus GST. For semi-urban and rural centres the charges have been reduced from Rs 40 per month plus GST to Rs 12 and Rs 10 per month plus GST respectively.
P K Gupta, MD – Retail & Digital Banking, SBI said, “We have reduced these charges taking into account the feedbacks and sentiments of our customers. SBI has always focused on keeping the interests of its customers first and this is one of our many efforts towards fulfilling customer expectations. The bank also offers its customers to shift from regular savings bank account to BSBD account on which no charges are levied.”
The bank has a very strong deposit franchise having 41 crore Savings Bank accounts, of which 16 crore accounts under PMJDY / BSBD and of pensioner/minors/social security benefit holders were already exempted. In addition, students up to the age of 21 years are also exempted. The above revision in AMB will benefit 25 crore customers.
SBI also clarified that customer always has the option of converting the regular savings bank account to Basic Savings Bank Account (BSBD account), free of charge, in case he desires to avail basic savings bank facilities without being subject to maintenance of AMB.