India’s largest lender State Bank of India on March 11 decided to waive maintenance of Average Monthly Balance (AMB) for all Savings Bank Accounts.
“This initiative will further boost the efforts to promote financial inclusion in the country,” a bank statement said.
The charges on maintaining AMB are now waived off on all 44.51 crore SBI savings bank accounts.
“SBI also waived off SMS charges levied on quarterly basis. All SBI customers will now enjoy the Zero Balance facility in their SB account,” it read further.
Currently SBI Savings Bank customers’ needs to maintain AMB of Rs 3000, Rs 2000 and Rs 1000 in Metro, Semi Urban and Rural areas respectively.
Bank used to levy a penalty of Rs 5 to Rs 15 + taxes on non-maintenance of AMB. “Keeping in mind ‘Customers First’ approach, the bank has also waived of SMS charges. This move by the bank will bring significant relief to all the customer of the bank. Bank has also rationalised interest rate on SB Account to a flat 3 % p.a. for all buckets,” the statement added.
SBI Chairman Rajnish Kumar announcing the waiver said, “This announcement will bring in more smiles and delight to our valuable customers. Waiving AMB is SBI’s yet another initiative to provide customers a more convenience and elated banking experience. We believe this initiative would empower our customers towards banking with SBI and boost their confidence in SBI.”