Any individual, including poor or those from weaker section of the society, can open zero balance account in any bank. All the accounts opened earlier as 'no-frills' account should be renamed as BSBDA. Banks are required to convert the existing 'no-frills' accounts’ into 'Basic Savings Bank Deposit Accounts'.
Salient Features of BSBDA Account -
1. An individual is eligible to have only one 'Basic Savings Bank Deposit Account' in one bank
2. Holders of 'Basic Savings Bank Deposit Account' will not be eligible for opening any other savings account in that bank. If a customer has any other existing savings account in that bank, he / she will be required to close it within 30 days from the date of opening a 'Basic Savings Bank Deposit Account'.
3. He can other deposit accounts such as Fixed Deposit in the same bank where he holds BSBDA account
4. BSBDA guidelines are applicable to "all scheduled commercial banks in India, including foreign banks having branches in India".
5. Banks should offer the ATM Debit Cards free of charge and no Annual fee should be levied on such Cards.
6. There will be no limit on number of deposits but it restricts no of withdrawls to 4 in a month including ATM withdrawl
7. BSBDA can also be opened with simplified KYC norms. However, if BSBDA is opened on the basis of Simplified KYC, the accounts would additionally be treated as “BSBDA-SMALL account”
BSBDA Small Account -
i. Total credits in such accounts should not exceed 1 lakh rupees in a year.
ii. Maximum balance in the account should not exceed 50,000 Rs at any time
iii. The total of debits by way of cash withdrawals and transfers will not exceed 10,000 rupees in a month
iv. Foreign remittances cannot be credited to Small Accounts without completing normal KYC formalities
v. Small accounts are valid for a period of 12 months initially which may be extended by another 12 months if the person provides proof of having applied for an Officially Valid Document.
Salient Features of BSBDA Account -
1. An individual is eligible to have only one 'Basic Savings Bank Deposit Account' in one bank
2. Holders of 'Basic Savings Bank Deposit Account' will not be eligible for opening any other savings account in that bank. If a customer has any other existing savings account in that bank, he / she will be required to close it within 30 days from the date of opening a 'Basic Savings Bank Deposit Account'.
3. He can other deposit accounts such as Fixed Deposit in the same bank where he holds BSBDA account
4. BSBDA guidelines are applicable to "all scheduled commercial banks in India, including foreign banks having branches in India".
5. Banks should offer the ATM Debit Cards free of charge and no Annual fee should be levied on such Cards.
6. There will be no limit on number of deposits but it restricts no of withdrawls to 4 in a month including ATM withdrawl
7. BSBDA can also be opened with simplified KYC norms. However, if BSBDA is opened on the basis of Simplified KYC, the accounts would additionally be treated as “BSBDA-SMALL account”
BSBDA Small Account -
i. Total credits in such accounts should not exceed 1 lakh rupees in a year.
ii. Maximum balance in the account should not exceed 50,000 Rs at any time
iii. The total of debits by way of cash withdrawals and transfers will not exceed 10,000 rupees in a month
iv. Foreign remittances cannot be credited to Small Accounts without completing normal KYC formalities
v. Small accounts are valid for a period of 12 months initially which may be extended by another 12 months if the person provides proof of having applied for an Officially Valid Document.
