SBI Bank - No Minimum Balance Required

NO MINIMUM BALANCE REQUIRED IN SBI

SBI

Good news for SBI account holders, end of hassle of keeping minimum balance in accounts Good news for SBI account holders, end of hassle of keeping minimum balance in accounts. 


The country's largest bank SBI i.e. State Bank of India has given a big deal to its savings account holders. SBI announced on Wednesday that the mandate to have an average monthly minimum amount for a savings account will end. With this, all the savings account holders of the bank will get the facility of zero balance account. The bank has also abolished the SMS charge charged every quarter. Apart from this, the bank has reduced the interest rate on all savings accounts equally to three percent per annum.


By eliminating the obligation of minimum balance, customers will be able to keep their balance in the savings account and they will not be charged any kind if there is no minimum monthly balance. According to the statement issued by the bank, this step will benefit 44.51 crore savings account holders of SBI. State Bank of India chairman Rajnish Kumar said, "This decision will bring a smile on the face of more people". The bank says that it has taken this step, following the policy of
'customer interest first'.

SBI

Savings account holders of different categories of SBI have had to keep in the account of Rs 1000 to Rs 3000 as minimum balance. Minimum balance of Rs 3000 in metro city, Rs 2000 in towns and minimum Rs 1000 in savings account in rural areas. In the event of not maintaining the average monthly minimum amount, account holders have to pay a fine of five to 15 rupees and pay taxes.


NOTE- SBI reduces interest rate on savings account but gets rid of minimum balance. 


Earlier, SBI had announced a cut in the interest rates of its fixed deposits. The new FD rates have come into effect from 10 March. The bank has cut interest for the second time in a month. The rate of interest for seven days to 45 days FD will now be 4 percent, which was 4.50 percent earlier. The interest rate on deposits for one year and above has been reduced by 0.10 percent.. The interest rate on deposits for a period of one year to two years will now be 5.90 percent, which was 6 percent earlier. For the elderly, the interest rate on term deposits for the same period will now be 6.40 percent instead of 6.50 percent.



The bank has cut interest rate by 0.15 percent on term deposits of Rs 2 crore and above (bulk deposits) for a period of 180 days and above. The interest rate on wholesale deposits of one year and above will now be 4.60 percent, compared to 4.75 percent earlier. Earlier, in February, the bank cut interest rates on retail term deposits by 0.10 to 0.5 percent, while in case of bulk deposits, it was cut by 0.25 to 0.50 percent.