Personal or Business Finance, if you have to optimise your savings you should be disciplined and mindful of even small costs to your bank account, which would bring down your sayings. Federal Bank Charges are such costs that can be shockingly huge if they go unnoticed for a long period. Review your account regularly for updates about your financial status and safeguard your finances.
Federal Bank is a popular commercial bank with a nationwide presence. It offers a wide range of innovative products, personalised services and a seamless digital banking experience. It caters to the diverse needs of individuals, businesses, and NRI customers.
Bank charges are fees or costs levied by financial institutions for providing financial and non-financial services and products. These charges are for covering the operational costs of the bank and include fees like account maintenance charges, ATM withdrawal charges, funds transfer charges, cheque book charges, debit card charges, locker charges, and many more. Bank charges vary depending on the type of service and the specific terms and conditions laid down by the financial institutions.
Similar to other banks, Federal Bank imposes various charges for the services provided. Here are some common types of charges that customers may encounter when dealing with Federal Bank.
Account Maintenance Charges
Federal Bank provides different types of accounts like savings accounts, current accounts, and specialised accounts. The account maintenance charges are typically based on the type of account, minimum balance requirements and transaction limits.
Specific transactions like cash withdrawals, funds transfers through various modes, demand drafts issuance, etc. These charges can vary depending on the transaction amount, mode of transaction, and the category of account.
For service related to cheques like stop payment requests, cheque dishonour, cheque book issuance, etc attract Federal Bank Charges. These charges while covering the operational costs will also prevent the misuse of cheques.
Debit Card and ATM Charges
Federal Bank Debit Card Charges are charges scheduled for issuing debit cards, replacement of lost/stolen or damaged cards, hotlisting of debit cards, etc. Also, the bank has set charges for withdrawal of cash at ATMs, balance enquiry as well as usage of ATMs outside the bank’s network.
Credit Card Charges
Federal Bank Credit Card charges are levied for various credit cards linked charges like issuing of credit cards, renewal of credit cards, cash withdrawal using credit cards, delayed payment of credit card dues, replacement of lost or stolen credit card etc.
Online and Mobile Banking Charges
Federal Bank offers user-friendly online and mobile banking services. Certain online features provided by the bank may attract charges. For instance, transactions through IMPS may have nominal charges. Value-added services like e-statements, SMS alerts, etc are chargeable services.
Loan Processing Charges
Before sanctioning a loan, the bank has to appraise the loan application, verify certain parameters to ascertain the integrity and creditworthiness of the customer, etc. The bank incurs certain operational costs for these processes and collects the same from the prospective borrower in the form of loan processing charges. It normally is charged at a percentage of the loan amount.
Follow the tips given below to minimise Federal Bank Charges.
Maintain the stipulated minimum balance: Ensure to maintain the minimum balance you have agreed upon while opening an account with Federal Bank to avoid the penalty imposed on your account when the balance goes below the minimum balance.
Choose the right type of account: Assess your ability to maintain the minimum balance and choose the right type of account that suits your budget and banking needs. You should also look at accounts that have lower charges for specific services.
Register for digital banking: Most transactions conducted through digital modes are devoid of charges. Bill payments, funds transfer, statement downloads done through digital modes can save a lot of charges.
Restrict your ATM transactions to Federal Bank ATMs: Choose to do ATM transactions through Federal Bank ATMs to the maximum possible extent and avoid ATM charges.
Plan Cash Transactions: Sum up your cash transactions for a month and plan to minimise the number of transactions and associated charges. Club small withdrawals or funds transfer into fewer transactions whenever possible.
Monitor your account closely: Regularly review your account statements and transactions and spot any unnecessary charges or discrepancies. If there are erroneous transactions get them revered immediately by reporting to the bank.
Federal Bank Savings Account Opening Charges
In Federal Bank, you have various categories of Savings Accounts to suit individual requirements. You can choose the account that fits your minimum balance maintenance budget to avoid further financial complications. The Federal Bank Savings Account opening charges stipulated for the various accounts are listed below.
|Type of Account||Initial Deposit|
|FedBook Selfie Account||Nil|
|Bespoke Savings Account||Rs. 2.00 lacs (Average Monthly Balance)|
|Fedfirst||Rs. 1000 (AMB)|
|Fed Excel||Rs. 10000 (only initial deposit- No minimum balance stipulation)|
|SB Plus||Rs. 5000 (AMB)|
|Fed Power+||Rs. 25000 (AMB)|
|Mahila Mitra Plus||Urban/Metro Areas: Rs. 10000(AMB) Semi-Urban Areas: Rs. 7500 (AMB) Rural Areas: Rs. 5000 (AMB)|
|Fed Smart||Rs. 1.00 lac (AMB)|
|Club Savings Account||Rs. 5000 (AMB)|
|Delite Savings Account||Rs. 3000 (AMB)|
|Pride Savings Account||Rs. 2000 (AMB)|
Unlimited ATM transactions are permitted by Federal Bank at ATMs within the bank’s network. For transactions at non-Federal Bank ATMs, the bank has fixed the number of free transactions. It permits 5 to 10 free transactions depending upon the location of the ATM within Kerala or outside Kerala and also as per the Account Schemes chosen. For transactions beyond the limit at non-Federal Bank the ATM withdrawal charges are as given below:
|Cash Withdrawals (Financial Transactions) beyond the limit||Rs. 21 + GST for each instance|
|Balance Enquiry (Non-Financial Transaction) beyond the limit||Rs.11 + GST for each instance|
Federal Bank provides value-added services like locker facilities for customers who desire safe custody of valuable articles and documents. The bank charges an annual rent for providing the facility. The list of charges as per the locker size and location is given below:
|Locker Size||Urban/Metro Branches||Semi-Urban/Rural Branches|
|Small||Rs. 2750||Rs. 1800|
|Medium||Rs. 3750||Rs. 3100|
|Large||Rs. 7000||Rs. 5500|
Transactions routed through digital modes do not attract Federal Bank NEFT Charges. Also, inward transactions through NEFT are free at Federal Bank. For outward transactions initiated through branches the Federal Bank NEFT Charges are as mentioned below.
|Up to Rs. 10000||Rs. 2 + GST|
|Above Rs. 10000 up to Rs. 1.00 lac||Rs. 4 + GST|
|Above Rs. 1,00 lac up to Rs. 2.00 lacs||Rs. 14 + GST|
|Above Rs. 2.00 lacs||Rs. 20 + GST|
Federal Bank does not collect charges for RTGS inward transactions as well as for RTGS outward transactions routed through digital channels. The Federal Bank RTGS Charges for outward transactions through branches are given below:
|Rs. 2.00 lacs to Rs. 5.00 lacs||Rs. 20 + GST|
|Above Rs. 5.00 lacs||Rs. 45 + GST|
Federal Bank customers need not pay any charges for IMPS transactions conducted through online modes. For the transactions conducted through branches, the Federal Bank IMPS charges are listed below.
|Up to Rs. 1000||Nil|
|Above Rs. 1000 to Rs. 1.00 lac||Rs.5 + GST|
|Above Rs. 1.00 lac to Rs. 2.00 lacs||Rs. 15 + GST|
|Above Rs. 2.00 lacs||Rs. 17 + GST|
Federal Bank Charges : FAQs
The Bank charges Rs 100 for Savings Accounts and Rs. 200 for Current Accounts closed within 6 months of opening the account. It charges Rs. 100 for SB Accounts in Rural Areas and accounts of Senior Citizens for closure after 6 months and within 12 months of account opening.For other SB and Current accounts the charges are Rs 300 for closure after 6 months and within 12 months of account opening. The bank does not collect charges for accounts closed within 14 days of opening the account.
Federal Bank charges Re 1/- per 100 with a minimum of Rs. 10/- if the RD instalment is not paid within the due date plus the grace period of 10 days.
The ECS Return Charges Federal Bank are Rs. 350/- per return and Rs. 180/- for the first-time return for SB Accounts. The bank charges Rs. 500/- per return and Rs. 250/- for the first-time return for CC/OD accounts.
Federal Bank charges Rsl 200 per return every month. Only the first return will be charged.