SBI Small Savings Account: Eligibility, Interest Rates And Other Details
SBI or State Bank of India offers small account, which is for customers who do not have KYC (Know Your Customer) documents. However, there are many restrictions in operation of the account due to the relaxed KYC norms, according to SBI's website. This type of account is primarily meant for poorer sections of society to encourage them to start saving without any burden of charges or fees, noted SBI. However, upon submission of KYC documents, the account can be converted to regular savings account. Individuals above 18 years of age can open the account singly or jointly.
Here are key things to know about SBI's small savings account:
1. Interest rates: SBI offers the same interest rate on small account as those on regular savings bank accounts. The bank offers an interest rate of 3.5 per cent per annum on deposits less than Rs. 1 lakh.
Â
2. Amount: Customers do not require to maintain an average minimum balance (AMB) in this account. The maximum balance amount that can be maintained in small account is Rs. 50,000. However, if the balance exceeds Rs. 50,000 or total credit in the account exceeds Rs. 1 lakh in a year, no further transaction is permitted until the full KYC procedure is completed, said SBI.
3. Withdrawal and transfer limit: Aggregate of all withdrawals and transfers in a month should not exceed Rs. 10,000, and the aggregate of all credits in a financial year is restricted to Rs. 1 lakh.
4. ATM card: Customers also get a RuPay ATM-cum-debit card free of cost. Credit of money through electronic payment channels like NEFT and RTGS is also free.
5. Other facilities: Small account holders are allowed a maximum of four withdrawals in a month, including ATM withdrawals at own and other bank's ATMs. One doesn't need to pay account closure charges.
-
Signature Play: The Classic Cocktail Is Dead. Or Is It?
Classic cocktails are disappearing from India's cocktail menus. But they're still being ordered, taught to bartenders and borrowed from. So, who's really having the last drink?
-
A New Samvat Wishlist: Inclusive Prosperity And Human Development
India has strengthened its economic foundations through infrastructure, digital access and enterprise. Its next growth chapter must deepen productivity, create better livelihoods and widen participation in prosperity.
-
Love, Sex Aur Dhokha: The Audacious Plot To Spy On Jensen Huang
A Taipei dinner, a Singapore chip buyer and a suspected Chinese asset: inside the alleged spy operation that got close to NVIDIA's Jensen Huang.
-
Ten Things I Learnt This Samvat
Patience can be a trap. Cheap stocks can stay cheap. Leverage can wipe you out. What did Samvat 2082 teach us? Niraj Shah writes on 10 lessons from the year gone by.
-
Talking Points This Week: Tech Nerves, FII Buying, And A Faraway Banking Shock
The global markets are not shining this Diwali. The exception in the large markets is, India.
-
Midterm Rally Lasted A Day. The Hard Reality Of A Divided US May Last Two Years | Opinion
Between a contested AI boom, a debt ceiling that arrives in 2027 and a president with every incentive to act alone, the next two years may prove more volatile than the first day's rally suggests.
-
Blue Wave Will Derail the AI Trade but Won't Dismantle the AI Era | Unhedged Position
The Democrats' sweep of the US Congress will see politics collide with economic forces both over the long and short term.
-
It's Time To Take The GST Council's Bet On Trust Global
Payment records can prove India's services exports, and clear, proportionate rules can bring foreign digital sellers into the tax net.
-
Opinion | India at 38: From Innovation Overperformer to Innovation Powerhouse
India now has 453 VC-backed deep science startups, 18 of them late-stage, after 117 percent growth since 2020. Laurus Labs, at USD 9.3 billion, is the most valuable deep science company in any middle-income economy outside China.
