Bank charges - 7 common Savings Account charges to consider

Savings accounts are one of the most popular offerings from banks, both public and private. Banks offer a wide range of services and facilities with savings accounts. You can:

1. Make deposits
2. Withdraw funds or transfer money to others
3. Get a rewarding debit card
4. Transact internationally, etc.

While your savings account offers these and many more features, some of the services can incur bank charges. Let’s understand more about bank charges and some of the most common ones.

What are bank charges?
 

Bank charges are fees levied by banks on the services that they offer with their savings accounts. For instance, if you request a new chequebook, your bank may charge for its issuance. Similarly, debit cards can come with a joining fee and an annual fee.

Bank charges are not fixed. They depend on your bank’s policies and the type of savings account that you choose.

Types of bank charges
 

Now that you know the concept of bank charges, let’s have a look at some of the most common charges that other banks levy on savings accounts and the charges that IDFC FIRST Bank levies for easy comparison:

1. Immediate Payment Service (IMPS)
 

This method facilitates instant electronic fund transfers in Indian Rupees between banks within India. The amount can vary from bank to bank. You can initiate an IMPS via mobile or net banking, and it is safe and economical. This is a 24X7 service provided that both banks involved in the transfer provide an IMPS facility.

IMPS charges
 

2. National Electronic Funds Transfer (NEFT)
 

Like IMPS, NEFT is a domestic money transfer service within India, facilitating transactions between banks. You do not need to be physically present at a bank branch to use it. However, NEFT transactions, unlike IMPS, are not instantaneous. Additionally, unlike IMPS, the upper limit varies depending on the customer segment. This, too, is a 24X7 service, provided that both banks offer the NEFT fund transfer facility.

NEFT charges
 

3. Real-Time Gross Settlement (RTGS)
 

Another instant bank-to-bank fund transfer service within the country, RTGS, differs in two key respects. First, it is used for much larger transaction values (the minimum transfer amount is ₹2 lakh, with no upper limit), and it must be completed during banking hours.

RTGS charges
 

4. Chequebook re-issuance charges
 

Many banks charge a fee while issuing a new chequebook. The first chequebook provided when an account is opened is usually free, but thereafter, you may have to pay for chequebooks per leaf.

Chequebook reissuance charges
 

5. ATM Charges
 

Over the past couple of decades, the dependency on chequebooks has decreased with the introduction of ATMs. Today, you can withdraw your money at the nearest ATM without waiting in long queues at bank counters.

But there’s a catch. Banks may charge you after a certain number of transactions, including withdrawals and checking balance statements. Moreover, transacting at non-bank ATMs can incur added bank charges.

If you frequently visit ATMs, be aware of the number of free transactions your bank allows.

ATM charges
 

6. Debit card charges

Most savings accounts offer a debit card facility, which can be used for online shopping, cash withdrawals, and mini statements. However, you may need to pay a joining fee to obtain the debit card. Moreover, there might be an annual fee too for continued usage of the card.

Debit card charges annually
 

7.  Account closure charges
 

Among other bank charges, this fee is generally unavoidable. If you close your savings account within a specified timeframe, you may be charged a flat fee for doing so. Usually, banks have a specific period within which the closure fee applies. Closing the account after the specified period might not incur charges.

For instance, banks can levy an account closure charge if you close your account within one year of opening it. After a year, the charge can be zero.

The fee varies across banks, and you can check this in your account’s charge structure.

Account closure charges
 

Save on bank charges with IDFC FIRST Bank’s zero-fee banking
 

While bank charges are different across different banks, you can choose an IDFC FIRST Bank Savings Account to avoid them altogether. The bank offers zero-fee banking on all its savings account services, like:

1. IMPS charges (outward)
2. NEFT charges (outward at branches)
3. RTGS charges (outward at branches)
4. ATM transaction charges at IDFC FIRST Bank ATMs
5. ATM transaction charges at other banks’ ATMs
6. Debit Card issuance charges
7. Debit Card annual charges
8. Debit Card replacement/re-issuance charges
9. SMS alert charges
10. Cheque book re-issuance charges
11. Cash deposit and withdrawal charges at branches (by number)
12. Cash deposit and withdrawal charges at branches (by value)
13. Third-party cash deposit and withdrawal charges at branches
14. Stop payment of cheque charges
15. Cheque Return – Deposited
16. Cheque Return – Issued
17. Demand draft/Pay order issuance charges at branches
18. Demand draft/Pay order cancellation/revalidation charges
19. Duplicate statement issuance charges
20. Duplicate Passbook issuance charges
21. Decline charges for insufficient balance at ATMs
22. Doorstep banking - Cheque and Document pick up - Ad hoc request
23. Balance Certificate issuance charges
24. Interest Certificate issuance charges
25. Account closure charges
26. International ATM/POS transaction charges
27. Standing Instruction set up charges
28. Standing Instruction failure charges
29. ECS return charges
30. Photo attestation charges
31. Signature attestation charges
32. Charges for the retrieval of old transactional records
33. Charges for any deliverable returned by courier due to negative reasons
34. Address confirmation charges
35. I-Pin Regeneration charges
36. Debit Card PIN Regeneration charges

Hence, make sure to maintain the specified average minimum balance in your savings account. As the saying goes, every penny saved is a penny earned. So, when you choose IDFC FIRST Bank, you not only enjoy high interest rates and monthly interest credits, but you also add to your earnings through zero bank charges.

Open an IDFC FIRST Bank Savings Account today and take your first step towards smart savings.

What makes IDFC FIRST Bank’s Savings Account stand out?
 

1. Zero fee banking on all Savings Account services including IMPS, NEFT, RTGS, ATM transactions, Debit Card, SMS alerts, and 30+ services
2. Earn attractive interest rates of up to 7.00% p.a. with monthly interest credits and the benefit of monthly compounding
3. Higher ATM withdrawal and purchase limits for added convenience on your Savings Account
4. Exclusive rewards and cashback offers on your Savings Account Debit Card, plus a rewarding loyalty programme through FIRST Rewards
5. Manage your money anytime, anywhere with the IDFC FIRST Bank mobile app and internet banking platform
6. Enjoy cash flow analysis, investment options, and rewards tracking, all within your digital banking experience
7. Recognised among the World’s Best Banks 2025 by Forbes in partnership with Statista