As a result of an RTI query, it has been recently disclosed that State Bank of India has closed as many as 41.16 lakh savings accounts from April month to January month.
State Bank of India had reintroduced the penalty charges over non-maintenance of average monthly balance in April 2017.  This was done after a period of five years. However, Bank had again revised down the charges in October month.
Chandra Shekhar Gaud from Neemuch in Madhya Pradesh had raised an RTI asking the question about number of closed accounts due to this sort of penalty. As a reply to this, State Bank of India answered, “Due to provisions of penalty on non-maintenance of minimum balance, the bank has closed 41.16 lakh savings bank accounts between April 1, 2017, and January 31, 2018.”
After this reply over a specific query on the number of accounts being closed after introduction of charges on non- maintenance of minimum balance from April 1, 2017, State Bank of India has today reduced its penal charge over not maintaining the minimum balance. This is the second time reduction in the penal charge within one financial year.
Indian’s biggest bank, State Bank of India has 41 crore savings bank accounts. Here, notable point is that all 16 crore bank accounts under Pradhan Mantri Jan Dhan Yojana/basic savings bank deposit (BSBD) and of pensioner, social security benefit holders, minors, are all exempted from this penalty charges.
Earlier, the penal charge for non maintenance of average monthly balance in the metros and urban area was Rs. 50 per month plus taxes. But, this has been reduced to Rs. 15 a month and taxes. One needs to maintain at least Rs. 3,000 per month in the bank account. For semi-urban and rural area, the charges have been reduced from Rs. 40 to Rs. 12, and Rs. 10 per, respectively. The average monthly balance requirement for semi-urban area is Rs. 2,000, while in rural area is Rs. 1,000. The bank now also offers its customers option for shifting from regular savings accounts to BSBD accounts. If you are going for this option, the bank will not charge you a single penny for this too.