Insufficient Balance In SBI Savings Account? Find Out The Penalty Charges You Have To Pay

SBI or State Bank of India levies certain penalty charges from savings account holders failing to comply with its minimum balance requirements. The country's largest bank, SBI charges a penalty ranging from Rs 5 to Rs 15 (excluding GST) from customers failing to maintain the required average monthly balance in their savings accounts, according to the lender's website - sbi.co.in. The amount of penalty applicable varies from one customer to another, depending on factors such as branch location and the amount of shortfall.

SBI average monthly balance requirements applicable to savings accounts

SBI categorises its branches into four types depending on their location: metro, urban, semi-urban and rural. Its customers holding savings accounts are required to maintain an average monthly average to the tune of Rs 1,000-3,000 to avoid any penalty charges, according to the bank's website.

SBI penalty charges for non-compliance with savings account average monthly balance rules

SBI charges the penalty amount based on factors such as branch location and the degree of shortfall, which is the difference between the average required and the average achieved by an account holder in a month. (Also read: Income tax assessees asked to link PAN with bank account for refund)

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Meanwhile, SBI offers several types of savings accounts that do not require any particular average monthly balance. In other words, these savings account can be operated with nil balance. Some of these bank accounts are Jan Dhan accounts (bank accounts opened under the government's financial inclusion-oriented Jan Dhan scheme), basic savings account, salary package accounts and small bank accounts, according to SBI.