SBI slashes monthly balance charges by 75 per cent

  • IndiaToday.in
  • Delhi
  • March 13, 2018
  • UPDATED 13:10 IST

HIGHLIGHTS

  • SBI has slashed AVB charges by 75 per cent.
  • The decision will benefit over 25 crore customers.
  • Charges for semi-urban and rural areas have also been slashed.
SBI has reduced charges for non-maintainance of AVB from Rs 50 to Rs 15. (Photo: Reuters)
SBI has reduced charges for non-maintainance of AVB from Rs 50 to Rs 15. (Photo: Reuters)

HIGHLIGHTS

  • SBI has slashed AVB charges by 75 per cent.
  • The decision will benefit over 25 crore customers.
  • Charges for semi-urban and rural areas have also been slashed.

The State Bank of India has reduced charges for non-maintenance of Average Monthly Balance (AVB) from Rs 50 to Rs 15.

The rates have been reduced by 75 per cent and new charges will be effective from April 1, 2018. The decision will benefit over 25 crore customers. The decision, SBI said, was taken keeping in view the feedback received from various stakeholders.

SBI has slashed rates of Average Monthly Balance in banks for metro and urban centers from Rs 50 to Rs 15, while the charges for semi-urban and rural centers have been slashed from Rs 40 to Rs 12. and Rs 10.

The decision came after SBI faced massive criticism that the bank earned a sum of Rs 1,771 crore in just 8 months from depositors who failed to maintain the average monthly balance in their bank accounts. This amount was more than SBI's net profit for the July-September quarter.

(With inputs from Rahul Srivastava)

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