SBI waives minimum balance for saving accounts for all users

In a bid to attract higher number of customers, country's largest lender, State Bank of India (SBI), Tuesday announced to withdraw mandatory barrier of minimum balance requirement in saving bank accounts for all customers.

Since now, there is no need to freeze Rs.1,000 for cheque-book facility account holder and Rs.5,00 for non-cheque account holder to avoid penalty.

Earlier SBI charged Rs.225 quarterly for non maintaining the minimum amount balance in saving bank accounts.

"SBI waives minimum balance in savings accounts," the public sector lender said in an advertisement published in leading newspapers.

It said that the facility was available to existing customers also.

The move would help SBI attract new customers and further consolidate its position in the market.

The minimum balance requirement for savings accounts in leading private banks varies between Rs.10,000 and Rs.20,000. However, this requirement is substantially lower in government-run banks.

--With IANS Inputs--