The country’s largest lender State Bank of India has revised service charges on ATM withdrawal for users of its mobile app “SBI Bank Buddy,” and various other cash transactions, effective June 1. SBI has clarified that the Rs. 25 charge will be levied only on withdrawing money from an ATM through its mobile wallet app. SBI’s app Bank Buddy is a new facility that enables withdrawal of cash through ATMs using the bank’s mobile wallet. All normal saving bank accounts in a month will continue to get eight free ATM transactions (5 at SBI ATMs 3 at ATMs of other banks) in metros and 10 free transactions in non-metros (5 at SBI ATMs 3 at ATMs of other banks), the clarification added.
The limit of four ATM withdrawals per month only applies to the Basic Savings Banks Deposit Accounts, SBI further said. SBI’s basic savings account is a limited-services bank account aimed at poorer sections of society to encourage them to start saving without any burden of charges or fees. This type of bank account comes with an ATM-cum-debit free of cost and no annual maintenance charges. A basic savings bank deposit account holder is not eligible to open any other savings bank account.
SBI has also revised service charges on various cash transactions for its customers, effective June 1. Here are some of the other key changes:
Online Transfers: Online fund transfer through IMPS or Immediate Payment Service will now be charged Rs. 5 plus service tax for amounts of up to Rs. 1 lakh; Rs. 15 plus service tax for above Rs. 1 lakh and up to Rs. 2 lakh; and Rs. 25 plus service tax for above Rs. 2 lakh and up to Rs. 5 lakh.
Exchange of Soiled Notes: If a customer wishes to exchange of more than 20 soiled notes or if the total value of soiled notes is above Rs. 5,000, SBI said it will charge Rs. 2 plus service charge for every soiled note.
Cheque Books: From June 1, a customer with a Basic Savings Bank Deposit will have to pay Rs. 30 plus service tax for a 10-leaf cheque book, Rs. 75 with service tax for 25-leaf cheque book and Rs. 150 plus service tax for a 50-leaf cheque book.
Charges on ATM Cards: SBI said that issuance of new debit cards will be charged from June 1 and only RuPay classic card will be issued for free.
Cash Withdrawals: Customers with a Basic Savings Bank Deposit will get four free withdrawals (including ATM) in a month, after which withdrawals will be charged at Rs. 50 plus service tax at an SBI branch and at Rs. 20 plus service tax at other bank ATMs.
- SBI will charge Rs. 25 on ATM withdrawal using “SBI Bank Buddy” app
- Saving bank accounts will continue to get 8 free ATM transactions/month
- State Bank’s new transaction charges are effective from today