Most of us have got used to receiving a mobile alert immediately after every debit card transaction. These alerts started initially to strengthen the security system, but did you know that it is not a default service? Usually, an account holder has to activate it, and there is a charge attached. Most banks such as Punjab National Bank and State Bank of India charge about ₹15 plus taxes every quarter for the service. In certain circumstances, such as when you hold a salary account, this fee could get waived.
Here are other charges that banks levy on your savings account.
Other than a salary account, most savings accounts require you to have a minimum balance. For example, if you have an account in a metro city, most banks will require you to have an average monthly balance of ₹10,000, per quarter. Banks can charge ₹300-500 per month and applicable taxes for non-maintenance of this balance.
Some banks levy an issuance fee of ₹150-700 plus applicable taxes. Almost all banks charge an annual maintenance fee depending on the type of debit card you have. However, for a basic debit card, most banks charge ₹100-200 plus tax. The maintenance fee can go up if you own a premium debit card. For instance, the annual maintenance fee on HDFC Bank’s EasyShop Platinum card is ₹750. However, if you have a salary or premium account, which requires you to maintain a higher minimum balance, your bank may waive annual maintenance fee.
If you lose your debit card and want to get a replacement, you will again have to pay a fee. Typically, banks charge ₹200 plus tax for every replacement card they issue.
Most banks allow you to get a physical copy of your account statement but there is a restriction on the number of times you can avail it. Beyond that, you need to pay a fee. For example, SBI charges ₹100 for every 40 entries each time you request for a duplicate statement. But an email statement request or checking your entries on the bank’s app is usually free.
If you have to get a duplicate copy of your statement, it is better to take your own printout and get the bank to attest it. Most banks won’t charge you for this. For a balance certificate, banks charge ₹100-500.
If you are trying to make a transaction by swiping your debit card but your account does not have sufficient balance, your bank could levy a penalty. This also includes the transactions declined at other bank’s ATM or any merchant outlet within or outside India. Most banks charge ₹25 plus tax for every declined transaction.
Your bank could also levy charges if your cheque bounces. If it happens due to insufficient funds, the charge could be as much as ₹500 but if it happens due to other technical reasons such as signature issues, you can be charged up to ₹50 per instance.
If you withdraw money often from ATMs and if you’ve been charged for some of them, there’s a reason. Normally, banks allow up to five free transactions per month at their own ATMs, and three free transactions at other banks’ ATMs. If you exceed these limits, you may end up paying around ₹20 per withdrawal. Banks also charge you for regenerating your debit card PIN. HDFC Bank, for instance, charges ₹50 plus tax, while ICICI Bank charges ₹25 for PIN regeneration.