As the State Bank of India or SBI Savings Account interest rate drops below 3% (2.70% per annum), SBI clients are looking for options where they can get more returns without change their risk appetite. For these SBI clients, there is an SBI Plus Savings Account, which is linked to the Multiple Option Deposit System (MODS), in which excess funds above a threshold limit of the savings bank account are automatically transferred to term deposits opened in multiples of ₹1000. According to the details of this special SBI savings account available on the official SBI website – sbi.co.in – the period of this term deposit varies from 1 year to 5 years. One can also get a loan against MOD deposits.
Like flexi fixed deposits, in this SBI Savings Plus account the amount above a threshold is transferred to the fixed deposit (FD). And in the event that the amount is less than the minimum account balance, the deficit is transferred from the fixed deposit (FD) to maintain the minimum balance of the SBI savings account.
SBI Savings Plus Account: eligibility criteria
According to the official SBI website – sbi.co.in, here are the eligibility criteria to open this special SBI savings account:
1]All persons with valid KYC documents are eligible to open a savings bank account and
2]Alone, jointly or with either or the survivor, the former or the survivor, any person or the survivor, etc.
For KYC requirements, the client must specify whether the “first in, first out” or “last in, first out” principle is to be applied for opening depots. In the absence of any mandate, the principle of “last in, first out” will be applied.
Main characteristics of the SBI Épargne Plus account
According to the information available on sbi.co.in, here are the main features of the SBI Savings Plus account:
1]The deposit period is 1 to 5 years;
3]Mobile banking services;
4]Inter Net banking
6]Loan against MOD deposits available;
7]Minimum threshold for transfer to MOD – ₹35000;
8]Minimum transfer amount to the MOD ₹10,000 in multiples of ₹1000 / – to one instance;
9]25 free checks per year. Other checks will be issued with fees based on the average quarterly balance maintained by the customer;
10]Transfer of accounts via Internet Banking;
11]Maximum balance: no limit
12]A passbook is issued to record transactions. A duplicate of the book may be issued in the event of loss of the original, against payment of costs. Account statements can also be sent by email; and
13]Average monthly balance: NIL.
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