Bank : State Bank of Indai Overdraft Against Fixed Deposits

State Bank of India has published that Get Maximum Amount @ Minimum Interest Rate.  Detailed information for availing Overdraft for Limited Period @ 0.5% above FDR Rate  is given below:-

SBI OVERDRAFT AGAINST FIXED DEPOSITS

Eligibility	Customer holding TDR/STDR/e-TDR/e-STDR with SBI in Single name only (No Joint Account Holders)
Security	e-TDR/e-STDR/TDR/STDR
Facility	Overdraft
Margin	e-STDR / STDR : 10% e-TDR / TDR : 25%
Interest Rate	0.5% above the relative time deposits interest rate
Loan Limit	Min: Rs 25000 Max: Rs 5 Cr
Repayment	e-STDR / STDR : 5 years e-TDR / TDR : 3 years
(Available on Retail Internet Banking Platform under the tab e-Fixed Deposits)
Apply Online

FAQs

1) Who is eligible to avail SBI Overdraft against Fixed Deposits?

Individual Customer holding TDR/STDR/e-TDR/e-STDR with SBI in Single name only (No Joint Account Holders)

2) What is the security the customer has to offer?

e-TDR/e-STDR/TDR/STDR on which the customer wants to avail the overdraft facility

3) Is Demand / Term loan facility also available online?

Currently the online facility is restricted to Overdraft only. For availing Demand/ Term Loan customers need to visit the Branch

4) How much Overdraft Limit can be availed?

The customer will be able to avail 90% of his e-STDR / STDR value and 75% of his e-TDR / TDR as Overdraft facility

5) What is the current Interest Rate on the scheme?

0.5% above the relative time deposit rate

6) What is the maximum Overdraft Limit?

The maximum Overdraft limit which can be availed against your Fixed Deposits Rs 5 Crore

7) Is there any minimum loan amount for availing online overdraft facility?

The minimum loan amount for availing online overdraft facility is Rs 25,000

8) Can the Overdraft be availed in Joint name?

No, currently only Customer holdingTDR/STDR/e-TDR/e-STDR with SBI in Single name only can avail the facility online. Joint Account Holders have to visit SBI Branches for availing facility.

9) What is the Repayment period?

The maximum repayment period overdraft against e-STDR / STDR is 5 years or residual period which is less, subject to minimum of 6 months

The maximum repayment period overdraft against e-TDR / TDR is 3 years or residual period which is less, subject to minimum of 6 months

10) How to avail the facility?

The Customer to visit www.onlinesbi.com and log in using his User Id and Password. Overdraft against Fixed Deposit is available under e-Fixed Deposit tab.

11) Can the Overdraft facility be availed against Tax Saving Deposit?

No, currently the Overdraft facility cannot be availed against the following:

MODs,
Tax Saving Deposit
NRE TDR/ STDR

India :- The legal consequences with bounced Cheques

A cheque is a negotiable instrument in India and is normally valid for three months from its date. Cheque bouncing is one of the most common offences in the country, with over 40 lakh pending cases in the Supreme Court. A cheque is said to be bounced when the payment stated on it is not made and it is dishonoured.

A cheque can bounce for several reasons, which include insufficiency of funds, mismatch in signature, stale cheques, post dated cheques or if there are corrections in the cheque without authentication. The bank collects a penalty from the defaulter when a cheque bounces.

The important point here is that when a cheque bounces, it is a criminal offence in India. Therefore under the Negotiable Instruments Act, 1881, the person who had issued the bounced cheque is punishable by heavy fine and jail term also.

What is the legal remedy you have if you have been issued a cheque which gets bounced?

Almost every bank gives a ‘cheque return memo’ along with the returned cheque stating the reason for the bounce. If you hold the cheque, you need to inform this to the drawer and ask if you can re-present it to the bank within the 3 months period. If cheque is dishonoured even the second time, then you can take legal action. As a first step, you can send a legal notice to the defaulter within a period of 30 days from receiving the cheque return memo. The notice should contain all necessary facts of the matter, including the details of the first time the cheque was dishonoured. The defaulter needs to make a fresh payment within a period of 15 days from the receipt of this notice. However, if he still doesn’t make the payment within this time period, then you can file a complaint in the magistrate court. This case should be filed within a maximum period of 1 month from the date of expiry of the 15 days time period.

Remember that the complaint should be filed within the time frame specific. If this is not done, then the case will become time barred and will not be entertained. When your case comes for hearing, the defaulter can be punished with a jail term for two years and/or a penalty which can be upto twice the cheque amount. The defaulter can appeal against the order within a period of 1 month of judgement.

Case 1: Bouncing of a rent cheque: In India, it is common practice for the landlord to take post dated cheques from the tenant. In case a rent cheque bounces, the landlord can follow the above procedure to recover the dues from the tenant. Sometimes, it may so happen that the tenant does not have the funds simply because the landlord did not drop the cheque at the expected time. Therefore, the landlord is bound to first inform the tenant and only then proceed with the legal process. There may be another case when the tenant wishes to set off an amount from a particular month’s rent towards some expense he incurred on behalf of the landlord, which the latter refuses to pay. If there is a cheque bounce because of this, the criminal case will continue against the tenant till he is able to establish that there was a legitimate set off.

Case 2: Bouncing of an EMI payment: When a cheque meant for an EMI payment on a loan is dishonoured, the bank can also file a case against the defaulter. However, banks do not do this as the first step. Firstly, hefty penalties, loan default charges and cheque bounce charges are levied. These keep building up for every month of default and added to the EMI amount. Also, the defaulter’s credit rating gets affected with every default he makes. In case of secured loans, banks also have the security as collateral. If the borrower does not make payments even after repeated reminders, the bank can give sufficient notice and auction the security to recover the dues.

Case 3: Bouncing of a cheque in a business transaction: If you receive a cheque from a business debtor and this gets bounced, then you should follow the above procedure to recover dues. In case of bounced cheques in business transactions, the added penalty would be the loss of face in business circles, affecting your reputation and business deals.

Considering the huge number of pending bounced cheque cases in the courts, the Government is mulling to amend the Negotiable Instruments Act which will restrict the payee from taking the defaulted person to court. According to news reports, such a person who has defaulted in making the payment will not face jail term and the cases will be handled only through arbitration and settlement by Lok Adalats. This proposal has come under criticism from the common man, as it is believed that this will only increase cases of payment default. A more stringent and rigorous punishment should be put in place to reduce instances of bounced cheques in the country.

Source :- http://in.finance.yahoo.com

PNB :- Doorstep Banking Services

Doorstep Banking Services

Salient Features of Doorstep Banking Services (safe & secure) :

Bank is offering the DSBS to its customers (Individual /Non Individual/Corporate) who are interested to avail the said services, for pick up of cash and delivery of cash from the door step of customer: 

The services are to be offered only to those customers in whose case proper KYC procedures have been followed. The service should be offered either at the residence or at the office of the customer. 

Customers will be pre-registered for this scheme. An agreement will be entered into with customer.

The DSBS include: 

           i. Pick up of Cash - Maximum Limit upto Rs. 2.00 crores

          ii. Delivery of cash against cheques received at the counter or through Fax

             – Maximum Limit Rs. 50 lacs.

         iii. Pickup instruments (like cheques, drafts/Pay orders, dividend warrants etc. for clearing) This shall be offered as a complimentary facility to customers simultaneously alongwith cash pick up for which no charges to be paid.

Following three type of options are available for Cash pick-up & delivery 

       (i) On Call Service 

      (ii) Beat Pick up Service. 

      (iii) Free of Cost option

     Customer may opt for one of the options. 

•      (i) On Call Service option:
       The customer shall inform the bank of pick up/delivery of cash required, over telephone/FAX on letter head.
  
•      (ii) Beat Pick up Service option:
         The representative of the Service Provider shall visit the customer on daily basis or on frequency requested by the customer.
  
• (iii) ‘Free of Cost’ Option –
  This option is to be provided to those customers who are not ready to pay the Security Agency charges and agree to keep higher current account agreed balance.

The services are to be offered within the business hours of the bank.

Customers account will be Credited/Debited on the same day in case of pickup of Cash  and delivery of cash facility under DSBS. 

Benefits of Door Step Banking Scheme:

Advantage to Customer :

1. Customer are not required to visit the branch for deposit/withdraw of cash under this scheme.

2. High security in pick up of cash and Delivery of Cash

3. Timely pick up of cash at door step of customer

4. Less Bank Charges

5. No Inter sol charges

For further details and latest information, please visit our nearest branch 

OR contact at

Toll Free No: 1800 180 2222; 

OR Landline Number 0120 249 0000

Bank:-Separate Net Banking Kit for Joint Account Holders

Friends,

                Before  today, I was not aware about that separate internet kits for separate users of Joint account holders can be availed from bank which I want to share with you.   I mean to say i was using a single internet kit on Joint Account with State Bank of Patiala vide which debit to only first name was allowed.  In the second word,  I had no power to debit second name.   In general accounting there may be no effect of debit to first name or debit to second name, but in case of e-FDR or deposit it effects due to separate PAN numbers of first name or second name.  

                    In last customer care of  State Bank of Patiala has directed to bank officials to issue separate internet banking kit on CIF of second name and got success which i want.  Now I have an  Joint account which contains three name i.e.  my daughter, myself or wife and have three internet kit to debit a single account. 

Benefit of Multiple Kits on Single Saving Account. 

1.  No need to maintain Separate Saving Accounts.  

2.  No need to maintain Separate Minimum Balances in Joint Account. 

State Bank of Patiala :- Bank Interest rate for 13.09.2012

Friends,   

              

                State Bank of Patiala has also changed their interest rates w.e.f. 13.09.2012.  This bank is still providing Interest on Term deposit/Fixed Deposit @ 9.25% for 1 year to 555 days which is higher than the interest rates of State Bank of India.        

RATES AT QUICK GLANCE AS ON 13.09.2012

Deposit Accounts

NATURE		RATE OF INTEREST								MINIMUM BALANCE
		NORMAL			SENIOR CITIZEN		Rural					Semi Urban		Urban
ACCOUNT
				1.    Savings Bank A/c                      w.e.f. 03.05.2011
				A. Domestic
a.    with cheque book facility			4.00		4.00		500					1000		1000
b.    without cheque book facility			4.00		4.00		250					500		500
c.    No Frills Account			4.00		4.00		0					0		0
a.    NRO			4.00		4.00		Same as domestic deposits
b.  NRE			4.00		4.00
2.    Term Deposit
A. Domestic					Rate of Interest (w.e.f. 13.09.2012)
Term Deposits (All maturities)					Below Rs.15 Lacs							Rs.15 Lacs to less than Rs.1 Crore
7 to 14 days					7.00							8.00
15 to 45 days					7.00							8.00
46 to 90 days					7.00							8.00
91 days to 180 days					8.00							8.00
181 days to 270 days					8.25							8.25
271 days to<1year span="span">					8.25							8.25
1 year to 554 days *					9.25							9.25
555 days					9.25							9.25
556 days to <2 span="span" years="years">					9.00							9.00
2 years to <3 span="span" years="years">					9.00							9.00
3 years to < 5 years					9.00							9.00
5 years to 10 years					8.75							8.75
Deposit for 18 years (for girl child) Cir. No. PSB/PNS/34 dated 24.09.2010					8.75							8.75
* Interest rate 9.25 % available upto 29.09.12, thereafter it will be 9.00.
BULK DEPOSIT INTEREST RATES FOR DEPOSIT OF 1 CRORE & ABOVE BUT UPTO RS.10.Crore (w.e.f. 13.09.2012)
7 to 14 days					8.00
15 to 45 days					8.00
46 to 90 days					8.00
91 days to 180 days					8.00
181 days to 270 days					8.00
271days to <1year span="span">					8.00
1 year to 554 days *					9.25
555 days					9.25
556 days to< 2 years					9.00
2years to < 3years					9.00
3 years to < 5 years					9.00
5 years to <10 span="span" years="years">					8.75
* Interest rate 9.25 % available upto 29.09.12, thereafter it will be 9.00.
B.Non-Resident Accounts
a.    NRO Accounts						Same as domestic deposits
b.    NRE (All Maturities) w.e.f.13.09.2012
						Below Rs.15 Lacs					Rs.15 Lacs to less than Rs.1 Crore
1 year    to 554 days *						9.25					9.25
555 days						9.25					9.25
556 days to   2years						9.00					9.00
2years to < 3 years						9.00					9.00
3 years to 5 years						9.00					9.00
>5 years to 10 years						8.75					8.75
* Interest rate 9.25 % available upto 29.09.12, thereafter it will be 9.00.