State Bank of India (SBI) offers certain accounts where average monthly balance (AMB) rule is not applicable. SBI's basic savings bank deposit (BSBD) account is a type of zero balance savings accounts and does not require customers to maintain any particular minimum average balance.
This account can be opened by any individual provided he/she has valid KYC (Know Your Customer) documents. SBI's BSBD account is primarily meant for poorer sections of society to encourage them to start saving without any burden of charges or fees, said SBI.
Here are 5 things to know about SBI's basic savings bank deposit (BSBD) account:
1) SBI's basic savings bank deposit (BSBD) account offers the same rate of interest as applicable to savings bank account, according to SBI's website - sbi.co.in. SBI currently offers a rate of interest of 3.5 per cent per annum on deposits up to Rs 1 crore in savings bank accounts.
2) SBI's BSBD account can be opened singly, jointly, or with either or survivor, former or survivor, anyone or survivor etc. facility.
3) The customer cannot have any other savings bank account, if he/she has a basic savings bank deposit account, said SBI. If the customer already has a savings bank account, the same will have to be closed within 30 days of opening a basic savings bank deposit account.
4) SBI's basic savings bank deposit (BSBD) account comes with a Basic RuPay ATM-cum-debit card, issued free of cost. The account holder can use this card at ATMs or use the withdrawal forms at branches to withdraw cash, as mentioned on SBI's portal.
5) Maximum of 4 withdrawals in a month is allowed in a BSBD account, which includes ATM withdrawals at own and other bank's ATMs and transactions through other mode including RTGS/NEFT/clearing/branch cash withdrawal/transfer/internet debits/standing instructions/EMI, etc.
