State Bank of India has expanded its revised cash withdrawal charges to all Basic Savings Bank Deposit (BSBD) account customers, regardless of how they opened their accounts. According to The Times of India, the latest revision creates a uniform regime for all BSBDA customers, irrespective of the channel through which the account was opened. Under the new framework effective October 1, 2026, customers can make four cash withdrawals in a month without charges through SBI ATMs, other bank ATMs, branches, and AEPS cash transactions. However, any withdrawal beyond the fourth transaction will attract a charge of ₹15 plus GST per transaction. The previous structure had different rules for customers who opened accounts through customer service points (CSPs) or business correspondents (BCs), but not for those who opened accounts through branch banking channels. As reported by The Times of India, banking analysts view this move as aimed at plugging a gap in fee income recovery from a large base of customers using cash transactions, noting that maintaining different rules had left a section of customers outside the charge framework despite generating similar transaction costs for the bank.
The BSBD account is designed as a basic savings account for customers from economically weaker sections of society, with no minimum balance requirement and no upper limit on account balance. As reported by SBI and Business Standard, the account can be opened by any individual with valid KYC documents at all SBI branches. The account comes with a basic RuPay ATM-cum-debit card issued free of cost with no annual maintenance charges. Customers can withdraw money through withdrawal forms at branches or ATMs, but the account does not include a cheque book facility. The account is designed primarily to promote financial inclusion by allowing customers, particularly those from lower-income sections, to access basic banking services without the burden of maintaining a minimum balance. According to The Times of India, BSBDA accounts are designed as no-frills savings accounts and are available to individuals with valid KYC documents. These facilities remain available without charges despite the revised cash withdrawal rules.
According to The Times of India, digital transactions will continue to be free, with no restriction on the number of transactions. This means customers can make unlimited digital payments, online transfers, and mobile banking transactions without any charges. The bank has revised its policy regarding Aadhaar Enabled Payment System (AePS) transactions, removing the previous rule that excluded them from the monthly calculation of four free transactions. Under the revised rules, AePS transactions will now be counted towards the four-transaction limit, making it easier for customers to reach the limit if they frequently use cash withdrawal services. The account is available for single or joint opening with various operating instructions options, and customers can withdraw money through withdrawal forms at branches or ATMs, but the account does not include a cheque book facility.
State Bank of India has demonstrated robust financial performance with net profit reaching ₹21,121 crore for Q1 FY27, representing a 10.23% year-on-year increase from ₹19,160 crore in the same period last year. As reported by Zee News, the bank's operating profit climbed by 9.8% to ₹33,529 crore, while net interest income experienced strong 14.9% growth to ₹46,992 crore. The strong performance was driven by a surge in interest income, robust expansion in loans, and a significant drop in provisions for bad loans. This financial strength positions SBI well to continue supporting its digital banking initiatives and customer service improvements across all account categories. The move to expand cash withdrawal charges comes as banks collectively held 73.04 crore BSBDA accounts with outstanding balances of ₹3.45 lakh crore as of December-end 2025, highlighting the significance of SBI's latest move for millions of account holders.
According to SBI and Business Standard, the most significant condition is that customers cannot hold another savings bank account simultaneously. If a customer already has a savings account, it must be closed within 30 days of opening the BSBD account. The revised charges will apply specifically to customers holding Basic Savings Bank Deposit accounts, and will not affect all SBI account holders. The bank has revised its policy regarding Aadhaar Enabled Payment System (AePS) transactions, removing the previous rule that excluded them from the monthly calculation of four free transactions. Under the revised rules, AePS transactions will now be counted towards the four-transaction limit, making it easier for customers to reach the limit if they frequently use cash withdrawal services. The account is available for single or joint opening with various operating instructions options. Other services include free receipt or credit through electronic payment channels like NEFT and RTGS, with no charges for account activation or closure. However, customers should note that account closure charges may apply and the revised withdrawal rules make it important for BSBD account holders to track their monthly cash transactions, particularly if they frequently use ATMs, branches, AEPS services, or a combination of these channels.
