April 26, 2023
South Indian Bank (SIB) Savings Account
In this 21st-Century, you can seldom find an Indian citizen who does not have an active savings account. Whether children or adults, men or women, young or old, everyone must have a savings account. A savings account is mandatory to receive government benefits. Besides that, a savings account enables people to save their hard-earned money in a secure place and earn returns to grow their capital.
Although all scheduled commercial banks licensed and authorised by the Reserve Bank of India allow savings bank account opening, not all provide similar benefits. If you want to get decent interest rates, feature-rich cards, nominal account maintenance charges or minimum balance requirements, and many more, South Indian Bank (SIB) savings account is all you need.
This article discusses the best features of South Indian Bank (SIB) savings accounts and informs you of the interest rates, documents required to open an account, the process of opening an account, and whether you should park your money in SIB savings account or not. But before diving deeper into the features and benefits of the South Indian Bank savings account, let’s learn about the bank.
South Indian Bank - A Primer
The South Indian Bank has a rich legacy as one of the oldest banks in South India. The bank was created by a group of enterprising and promising men who met at the cultural capital of India, Thrissur in Cochin, during the Swadeshi movement.
Over the years, South Indian Bank has earned many laurels. For instance, in 1946, it became Kerala’s first private sector scheduled commercial bank under the RBI Act. In 1992, it became India’s first private-sector bank to open a Currency Chest. In the same year, the bank opened an NRI branch. And South Indian Bank became Kerala’s first bank that implement the CBS (Core Banking System).
South Indian Bank has a total of 925 branches, 1,152 ATMs, and 119 Cash Deposit Machines across India.
South Indian Bank Savings Account Types
South Indian Bank savings accounts come in many shapes and sizes. While some cater to seniors, others cater to juniors and kids. Moreover, you can also get savings accounts, especially for executives and groups. The following is the comprehensive list of the most popular types of savings accounts South Indian Bank offers:
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Regular (Zero-Balance) Savings Account - This savings account does not need any minimum balance to be maintained. A regular savings account holder can get up to four free transactions every month and NEFT/ RTGS facilities.
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Privilege Account - The feature-rich savings account provides many benefits to customers. For instance, account holders can get a global debit card, any-branch banking facility, free internet and mobile banking, and NEFT/ RTGS/IMPS fund transfer facilities.Group Salary Account - Group Salary account refers to four different types of salary savings accounts for salaried professionals working in firms, institutions, organisations, or manufacturing facilities. The first type is the ‘Standard’ account which provides customers with free access to NEFT/RTGS transactions worth up to INR 10,000 every month.
The account also provides free internet and mobile banking and 35 free cheques every year. The second account type is the ‘Smart’ account. It is a zero-balance account, providing 50 free cheques every year and up to INR 20,000 worth of pay orders without any fee every month, plus unlimited no-cost cash remittances to non-home branches. The third account type is the ‘Executive’ account. Besides providing free IMPS/ NEFT/ RTGS transactions of up to INR 20,000 every month, the ‘Executive’ savings account also offers 50 free cheques every year, free internet/mobile banking, and no ATM charges.
The last account type is the ‘Advantage’ salary savings account. Besides getting unlimited free cheques every year, account holders can transfer funds through IMPS, RTGS, or NEFT without any limits through mobile or internet banking. -
Junior Account - This South Indian Bank savings account is meant for children who have attained ten (10) years of age but are younger than eighteen (18). A minimum cash remittance of INR 10 is needed to open this account. However, the account holder must maintain a minimum account balance of INR 150. The account provides a free RuPay card, and account holders get priority for education loans. Also, if parents transfer money from their account to a SIB Junior Savings Account, the bank waives the fund transfer charges.
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Basic Deposit Account- This is the simplest type of South Indian Bank savings account. The minimum balance for opening the account is ‘Zero.’ The account holder also gets a free debit card without AMC (Account Maintenance Charges). A Basic Deposit account holder cannot open any other deposit account in any South Indian Bank. Also, the maximum time they can withdraw money from ATMs or bank branches is four (4). If they exceed the limit, the bank will charge INR 20, along with the service charge.
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Mahila Delight Account - The Mahila Delight account has been launched by South Indian Bank exclusively for women above 18 years of age. The account is very popular among Indian women because of its unparalleled features and benefits. For instance, account holders can get INR 10 lakh Personal Accident Death Insurance coverage by paying only INR 275 every year. Also, Mahila Delight account holders can make unlimited SIB and other bank ATM use and enjoy a daily withdrawal limit of INR 75,000 and a daily shopping limit of INR 2 lakhs. Additionally, users get 50 free cheque leaves every year and a free fund transfer facility for up to INR 1 lakh per month through NEFT and RTGS.
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SIB RUBY - SIB RUBY is a savings cum Flexi deposit account that automatically converts any balance above INR 3 lakh as a Flexi fixed deposit. The maximum holding period of the Flexi deposit account is 92 days. Account holders opening this account get higher interest rates than standard South Indian Bank savings accounts. SIB RUBY account holders get INR 10 lakh Personal Accident Death Insurance coverage by paying only INR 76 every year. It is worth noting that the minimum balance of the South Indian Bank SIB RUBY savings account is INR 25,000.
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SIB Elite Senior/ SIB Mahila Elite - South Indian Bank offers SIB Elite Senior and SIB Mahila Elite for Indian citizens above 55 years of age. The average minimum balance for this account is INR 5,000 in Metro or Urban branches and INR 2,500 in semi-urban and rural branches. Account holders can withdraw up to INR 75,000 using their RuPay Platinum card. Moreover, customers can request doorstep banking twice every month and avail of the Flexi FD facility, where a clear balance above INR 1 lakh gets automatically converted into a 6-month’ FD.
South Indian Bank Savings Account - How to Open
You can open a South Indian Bank savings account in two ways - online and offline.
The Online Mode
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To open a SIB savings account online, visit South Indian Bank’s official website.
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Scroll down and find ‘Online Account Opening’ under ‘Online Services.’ Click on it.
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In the ‘Online Account Opening’ page, select your customer type.
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If you click on the ‘Resident Customer’ option, you will see this page next. Click on ‘Create Account.
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Click on ‘I agree to all Terms and Conditions and ‘Apply Now to move to the next step and open your account. You will be required to upload your PAN card and Aadhar card to facilitate account opening.
The Offline Mode
To open a South Indian Bank savings account offline, you must visit your nearest SIB branch. You can open South Indian Bank’s official website and locate ‘Nearest Branch’ on its home page. On clicking the ‘Nearest Branch’ tab, the page will direct you to the next page, where you need to select the state and district before entering the branch name and keyword.
After locating the nearest South Indian Bank branch, you must visit it and talk to the customer service officer. The customer service officer will provide you with the application form. You must fill out the form accurately, sign it, and attach your identity proof, address proof, and a passport-size photograph and submit it to the customer service officer. Passports, PAN cards, Voter ID cards, driving licenses, NREGA cards, Aadhar cards, etc., are considered valid identity proof. Also, a driving license, passport, Aadhar card, bank passbook, ration card, telephone bill, or electricity bill are considered valid address proof.
After submitting your documents and the application form, the customer service officer will evaluate your application and provide you with a receipt. Your application form and documents will be sent to the concerned office, which will send your welcome letter and debit card to your registered postal address.
South Indian Bank Savings Account - Interest Rates
Like all other scheduled commercial banks, South Indian Bank tracks the benchmark rates set by the RBI to determine the interest rates of South Indian Bank savings accounts. The most recent rate change was made on 21st October 2022. The following is the comprehensive list of SIB savings account interest rates, including NRE and NRO accounts:
| End of the day Balance | Rate of Interest |
|---|---|
| Up to and including Rs 2.00 lakh | 2.50% per annum |
| Above Rs. 2.00 lakh - less than Rs. 5.00 crore | 2.75% per annum |
| Rs. 5.00 crore - less than Rs. 25.00 crore | 4.50% per annum |
| Rs. 25.00 crore - less than Rs. 100.00 crore | 4.20% per annum |
| Rs. 100.00 crore - less than Rs. 200.00 crore | 4.85% per annum |
| Rs. 200.00 crore and above | 5.00% per annum |
South Indian Bank Savings Account - Minimum Balance
The minimum balance is different for different SIB savings account types. The following is the comprehensive list of account maintenance fees for different South Indian Bank savings account types:
| Type of the Savings Account | Minimum Balance Requirement |
|---|---|
| SIB Ruby | Rs.25,000 |
| SIB Elite Senior/ SIB Mahila Elite | INR 5,000 in Urban/Metro Branches INR 2,500 in Semi-Urban/ Rural Branches |
| Mahila Delight Account | INR 5,000 in Urban/Metro Branches INR 2,500 in Semi-Urban/ Rural Branches |
| Basic Deposit Account | Zero |
| Privilege Savings Account | Contact SIB’s nearest branch |
| SIB Youth Plus | INR 2,500 in Urban/Metro Branches INR 1,000 in Semi-Urban/ Rural Branches |
| SIB Insta | Zero |
| Regular Savings Account | Contact SIB’s nearest branch |
| Junior Savings | Contact SIB’s nearest branch |
| SB Invest | Zero |
| SIB Video KYC Account | Contact SIB’s nearest branch |
South Indian Bank Savings Account - Eligibility
Any Indian citizen and Hindu Undivided Family (HUF) can open a South Indian Bank savings account. Also, except for the Junior Savings Account, the applicant must be above 18 years of age for all other accounts. For minor accounts, a parent or guardian must be a joint party. Besides individuals, clubs, associations, trusts, and societies can also open South Indian Bank savings accounts.
Should You Open a South Indian Bank Savings Account?
A South Indian Bank savings account provides many benefits. Besides being a safe investment option, the bank offers interest rates of up to 5% per annum. Also, you can open an account online or by visiting the nearest bank branch. A SIB savings account can be your first step to investment. However, if you want to earn higher returns from your hard-earned money, consider investing in debt mutual funds or the stock market. Debt mutual funds provide better returns than savings accounts and are a lot less volatile than equity stocks.
FAQs
What are the types of South Indian Bank savings accounts?
The most popular types of South Indian Bank savings accounts are Regular (Zero-Balance) Savings Accounts, Privilege Accounts, Group Salary Accounts, Junior Accounts, Basic Deposit Accounts, Mahila Delight Accounts, SIB RUBY, and SIB Elite Senior/ SIB Mahila Elite.
What are the salient features of the SIB Mahila Delight savings account?
The South Indian Bank Mahila Delight savings account is one of the most popular accounts in India. Besides a daily withdrawal limit of INR 75,000 and a shopping limit of INR 2 lakh, Mahila Delight account holders can get INR 10 lakh Personal Accident Death Insurance coverage by paying only INR 275 every year. Additionally, account holders can get a free fund transfer facility for up to INR 1 lakh per month through NEFT and RTGS, and 50 free cheque leaves every year.
What are the salient features of the SIB RUBY savings account?
SIB RUBY is a Flexi fixed deposit account that automatically converts the balance above INR 3 lakh as a fixed deposit. So, account holders can earn extra interest from their accounts without opening a fixed deposit. The maximum holding period of such a Flexi deposit account is 92 days. SIB RUBY also provides a Personal Accident Death Insurance cover of INR 10 lakh. However, the minimum balance of the SIB RUBY savings account is INR 25,000.
What are the salient features of the SIB Elite Senior and SIB Mahila Elite savings accounts?
Any Indian citizen above 55 years can open a SIB Elite Senior or SIB Mahila Elite savings account. Account holders get a RuPay Platinum card with a withdrawal limit of up to INR 75,000. The minimum balance requirement of SIB Elite Senior and SIB Mahila Elite savings accounts is INR 5,000 in Metro or Urban branches and INR 2,500 in semi-urban and rural branches. The best feature of this account is that the account holders can request doorstep banking twice every month and apply for the Flexi FD facility where any clear balance above INR 1 lakh gets automatically converted into a 6-month’ FD.
What is the minimum balance for the South Indian Bank savings account?
The minimum balance for South Indian Bank Savings Account depends on the account type. For instance, the minimum balance requirement for the SIB RUBY account is INR 25,000, while it is ‘Zero’ for the Basic Deposit account.
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