Savings Bank Account Rules
Savings Bank Account Rules
1. How to open Savings Bank Account:
i. An account may be opened in the name of one person or jointly in the names of two or more persons.
ii. All Savings Bank Accounts irrespective of their mode of operations must comply with KYC standards/Anti Money Laundering Measures (AML)/ Combating Financing of Terrorism guidelines (CFT) and Customer Identification Procedure (CIP).
iii. Application to open a Savings Bank Account should be made on the Bank's prescribed forms duly completed with all details like name, address , occupation etc . Each applicant will be required to sign the application ,containing a declaration to the effect that he/she/they has/have read and accepted the Savings Bank Rules. The application should be accompanied with recent color passport size photograph and copies of KYC documents . The originals of the KYC documents to be produced for verification
iv. Minor : A Savings Bank account of a minor may be opened to be operated by the natural guardian of the minor or by the guardian appointed by the Court.A Savings Bank Account may also be opened in the single name of a minor aged 10 years or more to be operated by the minor OR in the joint names of two minorswho have completed the age of 10 years to be operated by them jointly.
v. Illiterate Customer: Any depositor unable to read and write must attend in person and (in the presence of an approved witness who knows the depositor and is known to the Bank) affix his thumb impression to the application and other forms in the presence of a Bank official and have it attested by the signature of the approved witness. The application should be accompanied with recent color passport size photograph and copies of KYC documents . The originals of the KYC documents to be produced for verification.
No cheque book will be issued in these accounts.On specific request, after properly sensitizing the customer , Debit card will be issued in the account.
vi,. In approved cases, an account may be opened in the names of associations, clubs, co-operative societies (with the permission of the Registrar of Co-operative Societies), Trusts or other non-trading Institutions for purposes of depositing savings, provided the relevant bye laws, rules, etc. are found acceptable to the Bank and are strictly adhered to.
2.Operations in Savings Bank Account.
a. Individual account shall be operated by Self.
b. The mode of operation of a joint account should be specified at the time of opening the account and cannot be changed subsequently, without the written consent of all the joint account-holders
c. A Joint Account in the names of two or more persons, may be operated by any one or more or all of them, and the balance may be payable to any one or more or all of them or anyone or more or all of the survivors of them, as applicable.
d. In a joint account of two persons to be operated by 'Either or Survivor', on the death of any one of them, the surviving account-holder alone can operate on and will be entitled to the balance in the account, the legal heirs of the deceased r will have no claim against the Bank. On the death of the surviving account-holder, his heirs or legal representatives alone will be entitled to claim the balance from the Bank.
e. A joint account to be operated by 'Former or Survivor' can also be opened. Where the special instructions relating to the operation of an account reads 'Former or Survivor' the account shall be operated by the former i. e. the first named account-holder during his/her life time and only after his/her death , the second named account-holder,, will be entitled to operate the account.
f. In the event of death of a sole depositor or of the surviving or the last surviving depositor, the amount in the account shall be paid to the legal representatives of such sole depositor or of the surviving or the last surviving depositor, as the case may be. "Legal representatives" shall include either the executor or the administrator who has obtained Probate or Letters of Administration from a Competent Court in India or the holder of a grant of Succession certificate or of any other proper grant of legal representation to the estate of such deceased depositor from a Competent Court in India. The Bank reserves the right to pay at its discretion the balance due in the account of such deceased account-holder to his/her heirs on a proper indemnity with or without sureties.
3 . Minimum AverageBalances :
The minimum average amount that should be maintained in the account will be as below for different variants of Savings Bank account, which will be calculated on a quarterly basis: (Except Accounts opened under Pradhanmantri Jandhan Yojana A/c where the stipulated average balance is zero)
Savings Bank- Regular
Savings Bank- Premium
Savings Bank- Senior Citizen
Savings Bank - Mahila
Savings Bank - Student
Savings Bank – NRE Regular
Savings Bank – NRE Premium
Savings Bank – NRO
4 . Maximum Balance:
There is no limit to the maximum balance in accounts
(i) Credits to the account can be made in the form Cash, Cheques, Transfers, NEFT/RTGS, etc.
(ii)All credits made in the account should be accompanied by a paying-in-slip, which is common for Cash as well as cheque deposits.
(iii) Cheques received after specified time, will be cleared on the next working day.
6. Withdrawals by Debit Card
The customers will be issued with an ATM cum Debit Card, for using at ATMs for cash withdrawal/other services, Point of Sale Machines for payments online transactions etc.
Customers are required to ensure safe custody of the card . Personal Identification Number (PIN) required for card transactions, should be kept as secret without disclosing to anyone.
In case of any loss/theft of card, for blocking the card, immediately contact the nearest branch or Contact Center @ 18001033723 .
7. Withdrawals by Cheque
Withdrawal is allowed only through the printed cheque leaves provided by the Bank. One cheque book will be provided at the time of opening of the account and the printed Requisition Form available in the cheque book should be used for subsequent requirements.
If the depositor is illiterate he/she must attend the Bank branch personally and affix his thumb impression which is to be attested by an approved witness who knows the depositor and is known to the Bank. Further, the attestation by a third party may be waived if the customer affixes the thump impression on the cheque in presence of a Bank official and identified by the Bank official by verifying with the photograph lodged with the Bank .
To prevent forgeries, frauds, etc., constituents are particularly requested to:
(ii) Keep the cheque book under lock and key.
(iii) Fill in the body of cheque only before delivery.
(iv) Fill in the amount in words, as near as possible, to the words "Rupees" and the amount in figures, as near as possible, to "Rs.".
(v) The writing of cheque should be clear and distinct and cheques must be drawn in such a way as to prevent any alteration or addition after issue.
(vi) The amount in cheques must be stated both in words and figures.
(vii) Cheques with alterations , will not be accepted for collection/payment .
(viii) Payments of cheques on which the signature does not exactly correspond with that on record at the Bank will be refused.
(ix) The Bank will ask for proper identification of the presenter before making cash payments of order cheques.
(x) Post dated Cheques i.e. bearing a date subsequent to the date of presentation and Stale Cheques ie.cheques bearing date over three months prior to the date of presentation will be refused for payment.
(xi) Constituents are requested to cross all cheques intended for collection before depositing them into their accounts.
(xii) The Bank will accept instructions in writing or through specific options available internet/mobile banking channels from the drawer of a cheque to stop the payment.
(xiii) Issue of cheques without sufficient funds in the account may attract penalty under Section 138 of N.I.Act.
(xiv) Cheques must not be issued without providing funds in the account. If, cheques are presented without sufficient funds to meet them, payment will be refused and the cheque returned. Repeated disregard of these instructions will entail the summarily closing of the account.
(xv) Account can be overdrawn only after previous arrangement with the Bank, subject to the discretion of the Bank.
(xvi) To safeguard cheques from being collected by unauthorized persons,
i) A/c payee cheques will be collected/paid only to the credit of the payee’s account.
ii) cheque payable to any entity,like firm , limited company, Trust, Society etc.,even though "Bearer" will not be accepted for payment/ credit of a personal account.
Interest will be allowed at the rate prescribed by the Bank from time to time. Such rate shall be published on the Notice board of the Bank Branches and the Website of the Bank www.esafbank.com. The Bank reserves the right to vary the rate of interest from time to time
Interest on Savings Bank account will be calculated on daily product basis or as prescribed by the Reserve Bank of India from time to time.
Interest will be calculated quarterly and credited to at the end of June, September, December and March every year. Interest amounting to less than Re 1/- per half year will not be credited.
9. Statement of Account
(i) At the time of opening the account, a statement of account will be provided to the customer once the account is activated.
(ii) Subsequent computer generated statement of account showing a record of all transactions (credits and debits ) will be issued on half yearly basis,(OR monthly /quarterly basis on specific request of the customer ). Once a statement of account being received by a customer the entries therein should be carefully examined and error or omission,if any, should immediately be brought to the notice of the Bank, otherwise rendering of the statement of the Account to the customer will be treated as an acknowledgement of its correctness to date. The Bank will not be responsible for any loss arising from the negligence of customer in taking above precautions.
(II) It should be understood that if at all any entries pertaining to the uncleared/un realized balances are appearing on the statement , , such amounts may not be available for drawing, until the proceeds have been realized by the Bank.
12. Change of Contact Details:
Change of contact details like address, mobile number, e mail id etc., should be immediately intimated to the Bank in writing and updated in the records by submitting required documentary proofs.
13. Nomination Facility:
Nomination Facility is available to new as well as existing SB Accounts. A nomination form duly filled up and signed by all account holder/s is required to be submitted to the Bank for the purpose. The account holder/s can make, cancel and vary the nomination at any time during currency of the account by submitting the prescribed form for the purpose duly signed. The nomination can be made in favour of only one individual. If nomination is not required to be marked in an account, inspite of it’s explicit benefits, the same has to be clearly mentioned in the account opening form.
13. Closing of Accounts:
The accountholder must give in writing his/her intention to close the account.
(i) The unused cheque leaves, Debit Cards, if any, in the possession of the depositor should be returned to the Bank.
(ii) All the standing instructions , NACH mandate etc will automatically stand cancelled on closure of the account.Bank shall recover charges as given in service charges section if an account is closed within a year.
(iii)Closure will not be allowed , if any Lien, attachment , overdues etc exist in any of the account/relationship of the entity.
(iv) The Bank reserves the right to close any account without previous intimation if in the Bank's opinion it is not operated upon satisfactorily or for any other reason whatsoever.
Customers are informed to do periodical transactions , either debit or credit, to avoid the account becoming inoperative/dormant. As per RBI guidelines, the account will be treated as inactive if there are no customer induced transactions in the account for over a period of 12 months and inoperative/dormant if it is not transacted for another 12 more months (ie a total of 24 months).
For the purpose of classifying an account as inoperative/dormant both the type of transactions i.e. debit as well as credit transactions induced at the instance of customers as well as third party are considered. However, the service charges levied by the bank or interest credited by the Bank should not be considered.
No transaction will be permitted in an inoperative/dormant account, without activation .To activate such accounts customer is required to submit application for activation and a fresh set of KYC documents, along with some transaction in the account.
For details of all Service charges , please visit Web site www.esafbank.com
15. Bank’s Right of “General lien and Set Off”
The Bank , at its discretion, in exercise of its rights of “General lien and Set Off” , shall have the right to appropriate the proceeds of any deposits(including Fixed Deposit) standing to the credit of the customer, towards the satisfaction of any outstanding dues , whatsoever, arising as a result :
i).of any Credit facilities extended/to be extended to the customer either as principal borrower or co borrower or guarantor ;
ii).and/or any of the Bank' services extended/to be extended to and/or used by the Customer(s)
16. Additions and alterations to the Rules
The Bank reserves the right to alter or add to these rules at any time without notice.
17. The above rules are not exhaustive.
For further details, please contact the nearest branch or visit Website www.esafbank.com.