The State Bank of India (SBI) to provide basic zero balance savings account to people without know-your-customer (KYC) records, given they are 18 years of age or above, the lender said as per Livemint report.
Customers can maintain maximum of ₹50,000 and If the balance exceeds the cap or if cumulative debit or credit in the account reaches beyond 1,00,000 in one year, the bank will stop further transaction until the customer completes KYC procedure.
Transactions through all means will be restricted only to 4 times a month. The bank issues a basic RuPay ATM-cum-debit card free of cost and it will not charge annual maintenance charge for the same.
First, the provision is for 12 months duration and can be extended to the next 12 months provided that the customer applied for any of the officially valid documents to be submitted to the bank. The customers can convert to regular savings account upon submission of KYC documents.
The bank offers an interest rate of 3.25% per annum on deposits less than ₹1 lakh.
Foreign remittances are not permitted.