SBI has prescribed certain penalty charges for non-compliance with its average monthly balance rulesSBI or State Bank of India requires its customers to ensure a particular minimum balance in their savings bank accounts.
The country's largest bank, SBI, has listed out guidelines on the average monthly balance rules applicable to its savings bank accounts, and the penalty charges for non-compliance, on its website - sbi.co.in.
According to the SBI rules, the savings account holders are required to maintain a certain average of daily balances with the bank in order to avoid the penalty charges.State-run SBI has classified its branches into four categories: rural, urban, semi-urban and metro.
Its customers holding savings accounts are required to maintain an average monthly average to the tune of Rs 1,000-3,000 to avoid any penalty charges, according to the bank's website.CategoryAverage monthly balance requirementMetroRs 3,000UrbanRs 3,000Semi UrbanRs 2,000RuralRs 1,000(Source: sbi.co.in)SBI charges the penalty amount based on factors such as branch location and the degree of shortfall, which is the difference between the average required and the average achieved by an account holder in a month.(Income tax assessees asked to link PAN with bank account for refund)For example, the bank charges a penalty amount to the tune of Rs 7.5-15 (excluding GST) for non-compliance with the guidelines in metro, urban and semi-urban branches, according to the SBI website.Penalty charges for insufficient balance in accounts located in metro/urban branchesShortfallPenalty for non-maintenance of AMB in urban/metro SBI branches<=50%Rs.
10 + GST>50%-75%Rs.
12 + GST>75%Rs.
15 + GST(Source: sbi.co.in)(Income tax assessments to be "completely faceless" in few years)Penalty charges for insufficient balance in accounts located in semi-urban branchesShortfallPenalty for non-maintenance of AMB in semi-urban SBI branches<=50%Rs.
7.50 + GST>50%-75%Rs.
10.00 + GST>75%Rs.
12.00 + GST(Source: sbi.co.in)Penalty charges for insufficient balance in accounts located in rural branchesShortfallPenalty for non-maintenance of AMB in rural SBI branches<=50%Rs.
5.00 + GST>50%-75%Rs.
7.50 + GST>75%Rs.
10.00 + GST(Source: sbi.co.in)In rural branches, a penalty of Rs.
5-10 (plus GST) is levied for non-compliance with the minimum balance requirements.Meanwhile, State Bank of India offers several types of savings accounts in which the customer is not bound to comply with any such requirements.
In other words, operating these bank accounts with nil balance does not attract a penalty for the customer.
Some of these bank accounts are Jan Dhan accounts (bank accounts opened under the government's financial inclusion-oriented Jan Dhan scheme), basic savings account, salary package accounts and small bank accounts, according to SBI.Get the latest election news, live updates and election schedule for Lok Sabha Elections 2019 on TheIndianSubcontinent.com/elections.
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