Winning Bizness Desk
Mumbai.SBI to charge ₹15 plus GST for cash withdrawals beyond 4 monthly transactions
State Bank of India (SBI) will revise its service charges for Basic Savings Bank Deposit (BSBD) account holders from October 1, 2026, limiting them to four free cash withdrawals a month. From the fifth withdrawal onwards, customers will have to pay ₹15 plus GST for every additional cash withdrawal. The revised rules will also change how the monthly free-withdrawal limit is calculated.
Digital transactions will now count towards limit
The key change is the inclusion of digital transactions while calculating the four free withdrawals allowed each month. Earlier, digital transactions were not counted towards this monthly limit. From October 1, SBI will include them while determining whether a customer has exhausted the four free transactions.
The revised four-transaction limit will cover withdrawals and transactions through multiple channels, including:
- Cash withdrawals from SBI ATMs
- Cash withdrawals from other banks' ATMs
- Withdrawals through bank branches
- Digital transactions such as Aadhaar Enabled Payment System (AEPS)
Once the monthly limit of four transactions is crossed, each additional cash withdrawal will attract a charge of ₹15 plus applicable GST.
BSBD account offers basic banking without minimum balance
SBI's BSBD account is designed for customers who want to maintain a basic bank account without the requirement of keeping a minimum balance. The account provides essential banking services while keeping the cost of maintaining the account low.
Customers can withdraw money by submitting a withdrawal form at a bank branch or by using an ATM. SBI also provides a basic RuPay ATM-cum-debit card with the account.
However, the account does not offer a cheque-book facility.
Customers cannot hold another SBI savings account
There are specific eligibility conditions for opening and maintaining an SBI BSBD account. A customer holding a BSBD account cannot simultaneously maintain another savings bank account with SBI.
For customers who already have an SBI savings account and subsequently open a BSBD account, the existing savings account must be closed within 30 days.
This condition is aimed at ensuring that the BSBD account remains a basic banking facility rather than an additional savings account maintained alongside another SBI account.
Account designed to widen access to banking services
The BSBD account is primarily intended to promote wider access to banking and financial services. It is designed to bring customers into the formal banking system without the burden of maintaining a minimum balance or paying additional charges for basic facilities.
Among its key features are:
- No minimum balance requirement
- Basic banking services
- Basic RuPay ATM-cum-debit card
- No annual fee for the basic RuPay debit card
The account is particularly structured around essential banking needs for customers seeking a simple savings account.
New withdrawal rule takes effect October 1
The revised service-charge structure will therefore make the monthly transaction count more important for BSBD account holders. Customers will get four free transactions under the new calculation method, after which applicable charges will come into play.
From October 1, customers should keep in mind:
- The four-transaction monthly limit will include digital transactions.
- SBI and other-bank ATM withdrawals will be counted.
- Branch-channel withdrawals will also be included.
- AEPS transactions will form part of the calculation.
- Each additional cash withdrawal beyond the applicable free limit will cost ₹15 plus GST.
The changes will apply to SBI's BSBD account holders from October 1, 2026, making it important for customers to understand the revised transaction-counting rules before making frequent withdrawals.
