State Bank of India (SBI) has reduced charges for non-maintenance of Average Minimum Balance (AMB) in savings accounts effective from April 1, 2018. The move is expected to benefit around 25 crores SBI customers nation-wide.
In Semi-Urban centers, the charges for non-maintenance of average minimum balance has been reduced to Rs 12 plus GST from the earlier Rs 40 per month plus GST.
In rural centers charges for not maintaining AMB is trimmed to Rs 10 per month plus GST from Rs 40 per month plus GST.
During April-November 2017, SBI had recorded a windfall of Rs 1,771.67 crore from customers for non-maintenance of monthly average balance in savings accounts, the amount which is more than bank's second-quarter profit. The state-run bank has faced huge public backlash for profiting with penalties.
"We have reduced these charges taking into account the feedbacks and sentiments of our customers. Bank has always focused on keeping the interests of its customers first and this is one of our many efforts towards fulfilling customer expectations" Money Control reports quoting PK Gupta, MD – Retail and Digital Banking, SBI as saying on the reduction of these charges.