State Bank of India, the country's largest lender, offers a host of schemes under its personal banking portfolio. One such scheme offered by SBI is Savings Plus Account, which is a savings bank account linked to MODS (multi option deposit scheme), according to SBI's official website, sbi.co.in. In this account, the surplus fund above a threshold limit from the savings account is transferred automatically to term deposits (fixed deposits) opened in multiples of Rs. 1,000. The period of deposit varies from 1-5 years, noted SBI.
Here are key things to know about SBI's savings plus account:
1. Eligibility: SBI's savings plus account can be opened by any individual who is eligible to open savings bank account. One can do it singly, jointly, or with either or survivor, etc.
2. Interest rates: The interest rates offered by SBI savings plus account is the same as those on regular savings bank accounts. For savings deposits balance less than Rs. 1 lakh, SBI offers an interest rate of 3.5 per cent per annum. On balance over Rs. 1 lakh, it offers an interest rate of 3.25 per cent per annum.
3. Amount: Any surplus funds above Rs. 25,000 in savings account are transferred as term deposit with a minimum of Rs. 10,000 and in multiple of Rs. 1,000 at one instance, said SBI. This means that the minimum threshold limit for transfer to MOD account is Rs. 35,000.
4. Monthly balance requirement: Customers are required to maintain a monthly average balance (MAB) for savings plus account. Monthly Average Balance (MAB) is the sum of all the end of day closing balance divided by the number of days in that month. Here are the MAB requirements of SBI savings plus account according to the lender:
| Location | Metro | Urban | Semi-Urban | Rural |
|---|---|---|---|---|
| Amount | Rs 3,000 | Rs 3,000 | Rs 2,000 | Rs 1,000 |
5. Other facilities: Facilities such as ATM card, mobile banking, internet banking, SMS alerts are also available with the account. Customers can also take loans against multi-option deposits.
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