SBI closes 41.16 lakh savings bank accounts as minimum balance penalty, is yours still open?

SBI savings back accounts closed: If you have a savings account,  you must keep minimum amount in that to avoid extra charge or account closure. In a latest RTI query, it was revealed that the country's largest bank State Bank of India (SBI) has closed nearly 41.16 lakh savings accounts between April and January for non-maintenance of minimum monthly balance. SBI had re-introduced the non-maintenance of average monthly balance charges in April last year after the charge was abolished around 6 years ago. The bank had yesterday announced a 75 per cent cut in penalty, effective April 1, for non-maintenance of minimum balance. So, the question on everyone's mind is whether their account has been spared or not. And the only way to find out is to rush to the bank to find out in person.
 
The RTI was filed by Chandra Shekhar Gaud from Neemuch in Madhya Pradesh. The RTI reply was furnished by SBI on February 28, 2018. Of the 41 crore savings bank accounts the bank has, 16 crore are under the Pradhan Mantri Jan Dhan Yojna/ basic savings bank deposit (BSBD) and of pensioner, minors, social security benefit holders.  These 16 crore accounts are exempted from the penalty for non-maintainance of minimum balance. In its reply, SBI said, "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."

According to the finance ministry data, between April and November, SBI had earned Rs 1,771.67 crore for non-maintenance of minimum balance, which is more than its second quarter profit. In the metros and urban centres the bank charges a maximum of Rs 50 per month plus taxes at 18 per cent to Rs 15 a month and taxes for non- maintenance of minimum balance, which is for urban and metro customers is of Rs 3,000 per month.

The charges have been reduced from Rs 40 to Rs 12, and Rs 10 per, respectively for semi-urban and rural centres. The minimum balance requirement for semi-urban area is Rs 2,000, while for the rural centres it is Rs 1,000. However, customers can shift from regular savings accounts to BSBD accounts, on which no charges are levied.