State Bank of India (SBI) to charge Rs 15 per Quarter for SMS alerts.
Countries largest lender State Bank of India (SBI) has decided to charge Rs 15 per Quarter i.e. Rs60 per year for SMS alerts. “With effect from quarter ending June 2013, SMS charges of Rs 15 inclusive of service tax per quarter will be recovered,” SBI said in an announcement.
At present, service tax rate is 12 percent and education cess is 3 percent of the service tax amount.
The country’s largest bank, which has about 18.5 crore customers, did not specify whether the charges are for special alerts only or even debit or credit card transaction alerts sent as per regulatory guidelines will also come under this.
Private sector banks ICICI and HDFC are already charging Rs 60 per year, excluding service tax, for sending special SMSes other than withdrawal and deposit alerts to its customers. Kotak Mahindra Bank charges Rs 25 per quarter for SMS alerts and updates.