No more than 4 free withdrawals a month in Bank transaction from 1st July

 State Bank of India has decided to allow to its basic savings bank deposit (BSBD) account holders to withdraw cash beyond four free transactions a month for a fee, and offer free non-financial and transfer transactions, among others.

The aforementioned “additional value-added services” will be introduced for BSBD account holders with effect from July 1.

Currently, BSBD customers are allowed four free withdrawals, including ATM withdrawals, in a month free of charges. No further withdrawals are allowed beyond these four transactions.

With effect from July 1, India’s largest bank will allow withdrawals beyond the four free transactions by charging ₹15 plus GST per cash withdrawal transaction at branch channel/ATM or at other bank’s ATM.

Cheque book

The bank will offer first 10 cheque leaves free in a financial year to all BSBD customers.

Thereafter, a BSBD customer will be charged ₹40 + GST for a 10 leaf cheque book; ₹75 + GST for a 25 leaf cheque book; and ₹50 + GST for emergency cheque book for 10 leaves or part thereof.

However, senior citizen customers are exempted from the aforementioned conditions.

Currently, one cheque book of 25 leaves is issued free to senior citizens and differently abled persons per year. For other BSBD account holders, no cheque book is issued

As per the bank’s website, BSBD accounts are primarily meant for poorer sections of society to encourage them to start saving without any burden of charges or fees. There is minimum balance requirement. Also, there is no cap on the deposit amount.