New Delhi: Public sector banks collected Rs 1,996.46 crore in penalty from customers for not keeping minimum monthly balance in savings account in 2018-19, Parliament was informed on Monday.
In 2017-18, the 18 public sector banks collected Rs 3,368.42 crore by levying minimum balance penalty. This amount was sharply higher than Rs 790.22 crore collected in 2016-17.
"The reduction in the amount through levy of charges by PSBs during 2018-19 include reduction in charges for non-maintenance of balance by State Bank of India, with effect from October 1, 2017," Minister of State for Finance Anurag Singh Thakur said in a written reply to the Lok Sabha.
SBI charged the penalty till 2012 and reintroduced it from April 1, 2017.
Following criticism for levying high charge, SBI reduced the penalty with effect from October 1, 2017.