No minimum balance needed for SBI savings bank accounts

SBIAll SBI customers will enjoy the zero balance facility in their savings bank accounts. This, according to the press release, will benefit 44.51 crore savings bank, account holders. State Bank of India has decided to waive maintenance of Average Monthly Balance (AMB) for all Savings Bank Accounts

The State Bank of India (SBI) announced on March 11, 2020, that it has waived off the requirement of holding the average monthly balance for savings accounts. It added that the charges on maintaining AMB are now waived off on all 44.51 crore SBI savings bank accounts.

SBI had reintroduced minimum balance charges in April 2017 after five years of waiving it. The penalty for not maintaining a minimum balance was the cause of much heartburn as fines were levied on those who did not have enough money in their accounts. The bank has also rationalised interest rate on savings accounts to a flat 3 per cent per annum for all savings bank account holders. Previously, savings accounts with a balance of less than Rs 1 lakh earn 3.25 per cent a year, while those with more than Rs 1 lakh earn 3 per cent.

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