SBI Vs ICICI Bank Vs HDFC Bank On This Zero Minimum Balance Account

Basic Savings Bank Deposit (BSBD) account, which has a zero minimum balance requirement, can be opened by people who do not want to be bothered with maintaining any minimum balance. A BSBD account does not require customers to maintain any monthly average balance. Among other banks, the largest lender of the country, State Bank of India (SBI) offers the option of opening a BSBD account. "This account can be opened by any individual provided he/she has valid KYC documents," SBI said on its website, sbi.co.in.

Since BSBD is a type of savings account, the eligibility of a customer to open this account and interest rates offered by it are the same as savings bank accounts, according to SBI's website. The customer cannot have any other savings bank account, if he/she has a basic savings bank deposit Account. 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 or BSBD account . There is no charge on activation of inoperative BSBD accounts and no account closure charges.

In normal savings account, SBI customers are required to maintain a minimum balance of Rs 1,000 to Rs 3,000, depending on the type of branch - urban, semi-urban, rural, and metro. Otherwise, they will be charged a penalty between Rs 10 per month plus GST to Rs 15 per month plus GST, depending on the type of branch.  SBI's Insta Savings account, which is opened via app YONO, also does not require any minimum balance till August 2018.

Here are 10 key things to know about State Bank of India (SBI)'s Basic Savings Bank Deposit (BSBD) account:

1) SBI requires BSBD customers to be compliant with KYC or Know Your customer rules. KYC rules help verify the identity of a customer.

2) BSBD accounts at SBI can be operated singly, jointly, or with Either or Survivor, Former or Survivor, anyone or Survivor etc. facility.

3) There is no upper limit on the maximum balance that can be maintained in BSBD accounts of SBI. The minimum balance and average monthly balance requirements, however, are nil, said SBI.

4) BSBD accounts can be opened at all banks of SBI.

5) Interest rates offered by BSBD accounts are as follows:
 

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