SBI to make cheque books, IFSC code of its six subsidiary banks invalid from September 30
The State Bank of India on Wednesday issued a notification asking the customers of SBI's erstwhile associate banks and Bharatiya Mahila Bank to apply for new SBI Cheque books as soon as possible. The bank said that cheque books of its all six subsidiary banks would become invalid from September 30.
The notification came months after the government merged the SBI with its five associates and the Bharatiya Mahila Bank. The state-run SBI's six subsidiary banks were Bank of Patiala, State Bank of Bikaner and Jaipur, State Bank of Raipur, State Bank of Travancore, State Bank of Hyderabad and Bhartiya Mahila Bank.
We request customers of SBI's erstwhile Associate banks and Bharatiya Mahila Bank to apply for new SBI Cheque books as soon as possible. pic.twitter.com/iWhq4xtbrn
— State Bank of India (@TheOfficialSBI) September 20, 2017
The government had in February approved the merger of these five associate banks with SBI. Later in March, the Cabinet approved merger of BMB as well. With this merger, the state-run bank joined the league of top 50 banks globally in terms of assets.
After the notification, the customers need to submit applications for new cheque books for replacement of the old cheque books. The bank also said that IFSC codes of its subsidiary banks become invalid from end of this month.
Last week, the bank in a tweet said that its Basic Savings Bank Deposit accounts offer same interest rates as its other savings bank accounts but without putting the burden of minimum balance maintenance on the customers. "This account can be opened by any individual provided he/she has valid KYC documents. Primarily meant for poorer sections of society to encourage them to start saving without any burden of charges or fees," SBI said in a notification.
The SBI had recently introduced a penalty of up to Rs 100 plus GST in case of failure to maintain the monthly average balance. If the balance falls below 75 per cent of the monthly average balance or MAB of Rs 5,000 in metropolitan areas, the penalty is Rs 100 plus GST. For rural areas, the minimum balance is Rs 1,000 and the penalty is between Rs 20 to Rs 50 for non-maintenance of minimum balance.
The SBI is also looking into the customer feedback over the charges for non-maintenance of monthly balance in their accounts. The bank had brought back charges on non-maintenance of MAB after a gap of five year. SBI Managing Director Rajnish Kumar spoke to PTI and said: "We have received feedback from our customers on the issue and we are reviewing those. The bank will take into account those and make an informed decision."