Kotak Mahindra Bank Adjusts Fees for Accounts: Details Inside

Synopsis : Kotak Mahindra Bank revises fees for savings and salary accounts, effective May 1, 2024. Changes include average balance criteria, cash and ATM transaction limits, standing instruction failure fees, and reduced free chequebook limits.

Private lender Kotak Mahindra Bank has made significant adjustments to its fee structure for savings and salary accounts, effective May 1, 2024. The updates encompass criteria for average balances, limits on cash and ATM transactions, fees for standing instruction failures, and the number of free chequebooks. These revisions are outlined in the bank's updated General Schedule of Features and Charges (GSFC).

Average Balance Criteria

• Sankalp Savings Account (Semi-Urban & Rural): Rs 2,500 (unchanged).

• Everyday Savings Account:

1. Metro & Urban: Rs 15,000.
2. Semi-Urban: Rs 5,000.
3. Rural: Rs 2,500.

Free Cash Transaction Limits

• Everyday Savings/Salary Account, Pro Savings, Classic Savings Accounts: 5 free transactions or Rs 2 lakh per month.

• Privy Neon/Maxima Programmes: 7 free transactions or Rs 5 lakh per month.

• Solo Savings Account: 1 free transaction or Rs 10,000 per month.

ATM Transaction Limits

• Everyday Savings, Classic Savings, Pro Savings, Ace Savings, and Privy Programmes:

1. Kotak ATM: 7 free transactions per month.
2. Other Bank ATM: 7 free transactions per month.
3. Maximum of 30 free transactions per month for Kotak and other bank ATMs combined.

• Everyday Salary and Edge Salary Accounts:

1. Kotak ATM: 10 free transactions per month.
2. Other Bank ATM: Unlimited free transactions (no change).

Standing Instruction Failure Fee

• A new fee of Rs 200 per instance will be imposed on all savings and salary schemes, replacing the previous no-charge policy.

Cheque Book Limit

• Solo Savings Account: Reduced from 25 free cheque leaves per year to 5 free cheque leaves per year.

Additional Revisions

• Transaction Fee for Withdrawals: Fund Transfers (IMPS/NEFT/RTGS): After 5 free withdrawals per month, fees will be applied according to the mode of withdrawal.

• Transaction Failure Fees: Debit Card/ATM Usage Fees: Transactions declined due to insufficient funds will incur a Rs 25 fee per transaction.

• ECS/Cheque Issued & Returned: Fee increased to Rs 250 per instance.

• Standing Instruction (SI) Failure: Fee increased to Rs 200 per instance.

These updates are intended to streamline the bank’s services and align them with customer requirements.

Related Questions

1. What changes have been made to the average balance criteria for Kotak Mahindra Bank accounts?

The average balance criteria have been revised for various accounts. For the Sankalp Savings Account (Semi-Urban & Rural), it remains Rs 2,500. For Everyday Savings Accounts, the criteria are Rs 15,000 for Metro & Urban, Rs 5,000 for Semi-Urban, and Rs 2,500 for Rural areas.

2. What are the new free cash transaction limits for Kotak Mahindra Bank accounts?

The free cash transaction limits have been updated. For Everyday Savings/Salary Account, Pro Savings, and Classic Savings Accounts, the limit is 5 free transactions or Rs 2 lakh per month. For Privy Neon/Maxima Programmes, it is 7 free transactions or Rs 5 lakh per month. The Solo Savings Account allows 1 free transaction or Rs 10,000 per month.

3. How have the ATM transaction limits changed for Kotak Mahindra Bank accounts?

For Everyday Savings, Classic Savings, Pro Savings, Ace Savings, and Privy Programmes, the new limits are 7 free transactions per month at Kotak ATMs and 7 free transactions per month at other bank ATMs, with a maximum of 30 free transactions per month combined. For Everyday Salary and Edge Salary Accounts, the limits are 10 free transactions per month at Kotak ATMs and unlimited free transactions at other bank ATMs.

4. What is the new standing instruction failure fee for Kotak Mahindra Bank accounts?

A new fee of Rs 200 per instance will be imposed on all savings and salary schemes for standing instruction failures, replacing the previous no-charge policy.

5. How has the cheque book limit changed for the Solo Savings Account at Kotak Mahindra Bank?

For the Solo Savings Account, the number of free cheque leaves has been reduced from 25 per year to 5 per year.