InvestorQ : What are the major changes that SBI account holders will be subjected to from January 01, 2019?
Sam Eswaran made post

What are the major changes that SBI account holders will be subjected to from January 01, 2019?

swati Bakhda answered.
12 months ago

SBI has made some very interesting changes to its account holder relations from the 01 January 2020. Few rules are changing for State Bank of India (SBI). As an SBI customer, you need to be aware of these changes. Here are 3 important changes that SBI is making.

Introduction of OTP-based ATM transactions

SBI customers will be able to make ATM withdrawal above a sum of Rs.10,000 only after OTP verification between 8 pm to 8 am from 1st January 2020. This OTP-based withdrawal is applicable only to withdrawals from SBI ATMs. With this change, State Bank ATMs have added another layer of security for cash withdrawals. Like normal OTP in other cases, this code will be received on the customer's mobile number registered with the bank. Once the cardholder enters the withdrawal amount, the ATM screen displays the OTP fields. The customer has to then enter the OTP received on the mobile number registered with the bank for getting the cash. Otherwise, the ATM will not disburse the cash.

Introduction of New EMV chip-based cards

You have got to graduate to the new cards from January 2020. SBI's magnetic strip ATM-cum-debit cards will get invalid from today, 1st January 2020. Customers are required to update their magnetic strip ATM-cum-debit cards with the new EMV chip cards to be able to use the cards at ATMs and POS centres. This will safeguard the customer with guaranteed authenticity, greater security for online payments and added security against fraud. Combined with the OTP facility, this makes SBI transacting one of the safest.

Now home loans will also get cheaper

SBI reduced its external benchmark based rate (EBR) by 25 basis points to 7.80% per annum, from 8.05% per annum. The revision will also be effective from 01 Jan 2020. With this reduction, interest rate for existing home loan customers as well as MSME borrowers who have availed loans linked to external benchmark based rate would come down by 25 basis points. SBI said new home buyers will get loans at an interest rate starting from 7.90% per annum, as compared to 8.15% earlier. These are thanks to seamless transmission post the shift from October.