Karnataka Bank Savings Account
As one of the nation's leading banks based in Mangalore, Karnataka Bank is a scheduled commercial bank RBI has selected for the A1+ class. There are currently over 883 branches spread across the country, making it a significant player in the banking industry.
Several types of savings accounts are offered by Karnataka Bank to meet the needs of individual customers. From a basic to a premium account, the bank has everything one could ask for and more to ensure every individual's banking experience is as enjoyable as possible.
Throughout this article, we will examine the savings account schemes offered by Karnataka Bank, their benefits, and how to apply them.
Features of Karnataka Bank Savings Account
Required Minimum Monthly Balance and Initial Deposit
Karnataka Bank Saving Accounts come in many types, with varying AMB and Initial Deposit requirements. There are, however, some zero-balance savings accounts, such as SB-Salary Privilege, that don't require clients to maintain a minimum balance, and the first step does not require an initial deposit.
Withdrawing Money From an ATM or Using a Debit Card
The Karnataka Bank Savings Account offers several debit cards that customers can use to make purchases at any time from any store, online or offline. Despite this, a few debit cards can be obtained free of charge and are available to all consumers.
Consumers have convenient access to all their account information through a passbook, whether it be offline or online. In contrast to digital passbooks, normal passbooks require frequent updates from the branch.
Providing nomination facilitation
All Karnataka Bank Savings Account holders can nominate a beneficiary upon death. Funds may be transferred to the beneficiary when a bank account holder passes away.
Karnataka Bank offers its account holders the service of using chequebooks, which facilitates the transfer of funds from one account to another.
Karnataka Bank Savings Account Interest Rate
Karnataka Bank Savings Account earns interest at an annual rate ranging from 2.75% to 4.50%, depending on the balance at the end of each day.
It differs from account to account. For instance, in the case of a zero balance account, each customer is permitted to make 4 cash withdrawals per calendar month, with a fee of Rs.20 assessed for each additional withdrawal.
Benefits of Karnataka Bank Savings Account
You can gain several benefits from opening a Karnataka Bank Savings Account. They include:
- You are more than welcome to make a cash deposit at any of the branches.
- There is no fee to deposit cash at BNA.
- You can withdraw cash from any of the branches.
- On subscription, you will be able to receive SMS alerts.
- Upon registration, you will receive a free monthly e-statement by e-mail.
- Each calendar year, there are 25 free check leaves available.
- It is possible to transfer funds through RTGS, NEFT, and IMPS.
- Customers can receive a Rupay debit card/VISA/Chip card.
- Banks offer Internet banking services.
- It also offers Mobile Banking services.
- Provision of nomination facilities.
Karnataka Bank Savings Account Interest Rates
From 01.06.2020, the Karnataka Bank Savings Account will provide interest rates on all savings accounts, including Non-Resident External [NRE] and Non-Resident Ordinary [NRO] savings accounts, as follows.
|Day-end Balance||Rate of Interest (% per annum)|
|Up to and including Rs.1 lakh||2.75|
|Above Rs.1 lakh and up to Rs.10 lakh||2.75|
|Above Rs.10 lakh and up to Rs.50 lakh||2.75|
|Rs.50 lakh and up to Rs.1 crore||3.50|
|Above Rs.1 crore||4.50|
Source - Interest Rates of Karnataka Bank Savings Account
Types of Karnataka Bank Savings Accounts
As of right now, there are eight types of Karnataka bank savings accounts that the bank offers. They are as follows:
- KBL Vanitha
- KBL Kishore
- KBL Tarun
- KBL Salary Privilege
- SB General (GEN)
- Privilege Savings Bank Account
- SB Sugama
- SB Small
1. KBL Vanitha
This is a Karnataka Bank Savings Account designed specifically for female customers. A woman of at least 18 years of age can open this account.
Characteristics & Advantages of KBL Vanitha
- Women aged 18 and above may open a personal account with this bank. Opening a joint account with two or more women is also possible.
- No minimum balance is required, and you can open an account with no opening deposit.
Upon daily balances, interest is calculated at 4.50% and paid quarterly
- An average balance of Rs. 1,000 should be maintained every month.
- There is no fee for Net Banking, mobile banking, RTGS/NEFT, and online payments.
- Whenever a transaction is made, you will receive a free SMS alert to let you know.
Banking activities can be performed using free mobile apps such as mPassbook, KBL Mobile, BHIM KBL UPI APP, ApnaApp, etc.
There is no charge for transactions up to Rs 50000 per month. Above that, a charge will be levied by the bank.
2. KBL Kishore
The Karnataka Bank Savings Account is intended for students between the ages of 10 and 18.
Characteristics & Advantages of KBL Kishore
- You are not required to maintain a minimum balance.
- Opening an account is a simple, fast, and instant process that takes only a few minutes.
- Karnataka Bank will not charge Demand Drafts if you send them to your university/college/institute to pay tuition fees, prospectus fees, or exam fees.
- The maximum amount of funds you can transfer from the account of the parent or guardian to the account of the student every month is INR 50,000.
- Debit cards come with a daily withdrawal limit of 5000 rupees and a shopping (PoS or e-commerce) limit of 1500 rupees.
- With Cyber Kid, you can access the bank's net banking service.
3. KBL Tarun
The Karnataka Bank Savings Account is intended for students between 18 to 25 old.
Characteristics & Advantages of KB Tarun:
- It is one of the Karnataka bank savings accounts minimum balance is not required.
- Creating a new account is a quick and easy process.
- Karnataka Bank won't charge you if you send Demand Drafts to your university/college/institute to pay tuition fees, prospectus fees, or exam fees.
- It is possible to transfer funds from the parent's or guardian's account to the student's account up to INR 50,000 a month.
- Multi-branch banking and multi-city check facilities are available because of the bank's national presence.
- You will have access to Money Plant's global VISA debit cards.
- There is no fee for Net Banking, mobile banking, RTGS/NEFT, or online payments.
- Every transaction will be notified to you via SMS alerts and monthly e-statements.
- Demand Drafts are available at all Karnataka bank branches.
- You can get free chequebooks and benefit from quick check processing.
4. KBL Salary Privilege
This Karnataka Bank Savings Account's purpose is to meet the needs of salaried people, either as a group or individually.
Characteristics & Advantages of KBL Salary Privilege Account:
- It is one of the accounts where a minimum balance in the Karnataka bank savings account is not required.
It is necessary to be credited with a minimum salary of Rs 1,00,000 for Executive account holders, Rs 30,000 for Prime account holders, and Rs 5,000 for Classic account holders.
- Besides being able to deposit and withdraw from any branch, you will also enjoy the convenience of multiple-city checks.
Personal Accident death coverage of up to Rs 10,00,000.
Jewellery insurance for women is available up to Rs 50,000.
- You are allowed to make free transactions up to a certain amount.
- Multi-city checks and multiple-branch banking are available thanks to the bank's national presence.
- With Money Plant VISA Global Debit Cards, you can enjoy many benefits.
Withdrawals from ATMs are not limited.
- There is free access to Net Banking, mobile banking, RTGS/NEFT, and online payments.
- Every transaction will be notified to you by SMS alerts and monthly e-statements.
- You can buy Demand Drafts at any Karnataka bank branch.
- Enjoy the convenience of quick check processing with free chequebooks.
5. SB General (GEN)
As a general public SB account, you can also take advantage of various benefits.
Characteristics & Advantages of SB General Scheme:
- At BNA, you will be able to deposit cash for free
- Cash can be deposited at any branch by the account holder or an authorised person
- If the account holder has a chequebook, they must maintain a balance of Rs 1000 in semi-urban, rural or financial inclusion areas (Rs. 2,000 in metros and cities).
- If the account holder does not have a chequebook, the balance must be Rs 200 in rural or financial inclusion areas (Rs. 500 in metros, urban, or semi-urban areas).
- If the balance is not maintained, a penalty of Rs 100 applies.
- A quick and easy way to transfer funds through NEFT/RTGS
- It is possible to obtain a Visa debit card, a Rupay card, and an EMV chip card for the account holder
- Many free mobile apps are available, such as BHIM, KBL UPI APP, and KBL mPassbook.
- The use of net banking and mobile banking is free.
- Any branch can accept personal checks for cash withdrawals
- There is a nomination facility available.
6. Privilege Savings Bank Account
Using this Karnataka Bank Savings Account will enable you to be covered by insurance at the bank's expense.
Characteristics & Advantages of Privilege Savings Bank Account
- Accident insurance coverage of up to Rs 2,00,000 is available at the bank's expense.
- You can get reimbursement for hospitalisation costs up to Rs 10,000 from the bank.
- There is an option to get a platinum international debit card for the account holder.
- Applications such as BHIM, KBL UPI App, mPassbook, and Apnaapp that are free to use
- Accounts in metro or urban branches must have a minimum balance of Rs 15000, while accounts in semi-urban, rural, or financial inclusion branches must have a minimum balance of Rs 10000
- Insurance coverage will be provided to the principal account holder if the savings account is a joint account.
- The insurance will cover savings account owners on the 31st of the month following the account opening.
7. SB Sugama
This is a no-frills account. Individuals can open this account without a minimum balance requirement.
Characteristics & Advantages of Sugama Savings Bank Account
- You can withdraw cash from your account four times a month as a bank customer. Following the fifth withdrawal, the bank levies a service charge of Rs 20 per withdrawal.
- There is a nomination facility available.
- You can get a free chequebook and passbook with your account
- Outstation checks can be collected for free
- An ATM/debit card and chequebook facility are available to the customer.
- The account holder can't bank at multiple branches and receive outstation checks immediately.
8. SB Small
An account like this is best suited for individuals who can
- Make sure your balance does not exceed Rs 50,000
- The total credit cannot exceed Rs 1,00,000 in a financial year
- There should not be more than Rs 10,000 transfers and withdrawals in a month. Keep a maximum balance of Rs 50,000 without fail
Characteristics & Advantages of Small Savings Bank Account
- When an account is registered, the holder gets a subscription to free monthly e-statements and electronic passbooks.
- There is a nomination facility available.
- The withdrawal slip can be used to make withdrawals.
- There are no facilities available with this savings account, such as
- Check collection
- Credit cards and ATMs
- Online banking, mobile banking, e-commerce, and mobile commerce
- Facility for chequebooks
How to Create a Karnataka Bank Savings Account?
In today's world, setting up a savings account at a bank requires only a few clicks or a visit to the branch. Essentially, two ways exist to open a Karnataka Bank Savings Account:
- Online (Through Internet or Mobile)
- Offline (Through Branch Visit)
How to open an online savings account?
Step 1 - Go to the bank's website or download its app.
Step 2 - Decide which account type is best for you.
Step 3 - Complete all the required information, including your full name, date of birth, address, PAN, and Aadhaar number.
Step 4 - Verify your identity by submitting documentation or completing a video KYC.
Step 5 - You can access your Karnataka Bank Savings Account upon verifying your identity.
How to open an offline savings account?
Step 1 - Go to the bank branch where you want to open an account.
Step 2 - Fill out the application for a new savings account.
Step 3 - Provide proof of residency and identification.
Step 4 - Fund your account by depositing the minimum amount.
Step 5 - Once your identity has been verified, your Karnataka Bank Savings Account will be activated.
Karnataka Bank Savings Minimum Balance & Non-Maintenance Charges
Source - https://karnatakabank.com/service-charges
|Name of Account||Monthly Average Balance||Non-Maintenance Charges|
|SB-General (GEN)||Without Cheque Book:
With Cheque Book facility:
|₹25 p.m. - ₹100 p.m.|
|KBL Vanitha|| ₹2,000 (M&U)
|₹25 p.m. - ₹100 p.m.|
|SB-Money Sapphire||₹10,000||₹100 p.m. - ₹400 p.m.|
|SB-ILSB|| ₹15,000 (M&U)
|₹100 p.m. - ₹400 p.m.|
|SB-Money Ruby||₹1,00,000||₹100 p.m. - ₹500 p.m.|
|SB-Money Platinum||₹3,00,000||₹100 p.m. - ₹500 p.m.|
Karnataka Bank Savings Accounts Charges
|Mobile and Internet banking||Free|
|SMS alerts||Rs.0.15 per SMS|
|NEFT through the internet or mobile banking||Free|
|Cash deposit at BNA||Free|
|Stop payment charges
Through branches and through online
|Rs.100 and Rs.25 per instrument|
|Cash Withdrawal at Karnataka Bank ATMs||Almost Free for all accounts.
But few accounts have 5 free transactions (inclusive of Financial and Non-financial) per month. After that, ₹21/- + applicable GST per transaction.
|Cash Withdrawal at Other ATMs||
It is free to make 3 transactions per month at 6 Metro Centres and 5 transactions at all other Centres. After that, the transaction fee is 21/- + GST.
At other banks, the maximum withdrawal limit is 100000/- per transaction, and the minimum withdrawal is 100/-.
Karnataka Bank Limited has already won many Banking Awards as an expanding bank. It now has over 883 branches. The bank is based in Mangaluru, Karnataka.
If you are looking for a good savings account with many features, Karnataka Bank Savings Account has a wide range of accounts, from controlled to premium, tailored to meet your individual financial needs.
What bank merged with Karnataka Bank?
As the bank grew, it merged with Sringeri Sharada Bank Ltd., Chitradurga Bank Ltd., and Bank of Karnataka.
Does Karnataka Bank have zero balance accounts?
Karnataka Bank's Sugama BSBD Account or Zero Balance Account aims to provide every individual with a bank account. A Sugama account does not require a minimum balance.
What is the process for opening a Karnataka Bank savings account?
Opening a savings account online is the easiest and quickest way. You only have to provide some details and update some documents. You'll receive a confirmation e-mail from the bank once the documents have been approved for the next steps. You can also open an account in a branch if you don't want to create an account online.
Can anyone open a savings account with Karnataka Bank?
You can open a Karnataka Bank Savings Account if you are an Indian citizen, a trust, a society, an organisation, or a minor (with parental supervision).
Who owns Karnataka Bank? Does it belong to the government or the private sector?
An 'A' Class Scheduled Commercial Bank based in Mangaluru, Karnataka; Karnataka Bank Limited was established in 1924 and is one of the oldest private sector banks in the country.