Here Are Five Ways to Open Savings Account with Zero Minimum Balance
State Bank of India (SBI), an Indian multinational and public sector banking company, offers various zero minimum balance account facilities. There is no requirement for these accounts’ minimum average balance or monthly average balance. One can run these accounts even if there is zero balance in the account.
Some of the zero minimum balance account services offered by SBI include Digital Savings accounts, Insta Savings accounts, basic savings bank deposits (BSBD), salary accounts and small accounts. Here are the essential details about the zero minimum balance account services.
Basic savings bank deposit (BSBD)
If a person has valid Know-your-customer (KYC) documents, they are only eligible to open this account. The Basic savings bank deposit is generally helpful for the economically weaker section of society. This facility encourages them to open a savings account without worrying about paying penalty charges if their account balance remains zero.
Holders of basic savings bank deposit accounts receive free basic RuPay ATM/Credit Cards, and the most critical point to note is that the bank does not charge annual maintenance for the debit card.
Account holders can also credit or receive money using free electronic payment methods such as NEFT or RTGS. The collection or deposit of cheques drawn by either state or central government is also free. The interest rate offered by the State Bank of India is 3.5% on savings up to Rs 1 crore, and the interest rate for savings beyond Rs 1 crore is 4%
The bank also offers a zero-balance savings account service and free unlimited transactions across ATMs of any bank. The facility of SBI credit cards is also given to the customers. The online services of NEFT/RTGS are also free of cost. Account holders can receive up to a 25% discount on locker fees. Points can also be earned on transactions through the loyalty program ‘SBI Rewardz’, which the account holder can later redeem.
Any individual above the age of 18 years can open this account, and a valid KYC document is required to open this account. However, various restrictions are attached to it because of the relaxed KYC. This account majorly encourages poorer sections of society to start saving. The minimum balance in this account is zero, and the maximum balance that can be retained is Rs 50,000. The interest rate for this account is similar to that of a savings account.
Digital Savings Account
To open this account, you must be an Indian resident over 18. To open this account, both a PAN card and an Aadhaar card are required. Till March 31, 2018, there will be no minimum balance charges and this account can be opened in a single name only. One can visit the nearest branch to convert to a joint account. For this account, the nomination is necessary, and the selected branch will be the home branch of the account.
Insta Savings Account