Mumbai: The State Bank of India (SBI) said it is exempting certain types of accounts from maintaining average monthly balance.

They are corporate salary accounts, small savings accounts, basic savings accounts and Jandhan accounts (Accounts opened under Pradhan Mantri Jan-Dhan Yojana or PMJDY).

This information was tweeted by SBI in its official Twitter handle.

The monthly average balance (MAB) requirement was made compulsory by SBI in March. The bank had said it will introduce a penalty for the defaulters from April 1.

An SBI account holder has been asked to maintain Rs 5,000 mandatory for accounts in metropolitan areas, Rs. 3,000 in urban areas, Rs. 2,000 in semi-urban areas and Rs. 1,000 in rural areas.

Small savings bank account

This account can be opened by any individual above 18 years old, who do not have Officially Valid KYC documents. This account has a maximum balance limit of Rs. 50,000 and offers a rate of interest applicable to savings bank accounts.

Basic savings account

This account can be opened by any individual above 18 years old, provided he/she has valid KYC documents. This account has no minimum balance or maximum balance limits. Holders of Basic Savings Bank Deposit Account will not be eligible to open any other Savings Bank Account. In case, he/she already has an account, the same will have to be closed within 30 days of opening a Basic Savings Bank Deposit Account.

Corporate salary package

The bank’s salary account comes with a complete package with many benefits for employers and employees.