<i>A plight: Account maintenance fee </i>
A bank manager gave a hawker a pay order of Tk 350 against newspaper bills. When the hawker went to the bank to withdraw the cash he found Tk 115 less. Shocked, the hawker came to know that the bank deducted the money in account maintenance fee.
An unexpected controversy over the account maintenance charge has emerged following the central bank's specification of account maintenance fee, first imposed in December last year and revised in May this year.
This time thousands of small depositors with the state-owned banks that earlier did not take any fee for an account are charging all depositors.
“The latest Bangladesh Bank decision is frustrating as it is against the interest of the small depositors,” said Shamsuddin Khaled, a depositor of a state-owned bank in a district town. “It is not acceptable.”
Small depositors came to know that the banks are cutting account maintenance fees as their financial year is ending on June 30.
The revised circular said the banks will charge nothing up to an average monthly balance of Tk 5,000, while Tk 100 plus 15 percent VAT will be imposed half-yearly for a balance between Tk 5,001 and Tk 25,000. And Tk 300 plus 15 percent VAT (value added tax) will be charged half-yearly for more than Tk 25,000.
In addition to the fee, an account holder has to pay excise duty and source tax in case of interests accrued from the savings.
Lakhs of small savers with the state-owned banks such as Sonali, Janata, Agrani, Rupali and Krishi are becoming the victims of the Bangladesh Bank's latest decision on account maintenance fee. According to the depositors, these banks did not charge anything for an account before the BB circular. Now the small depositors are even losing their principal amount.
The depositors said the decision acts against the spirit of the current governor, Dr Atiur Rahman, who is trying hard to reach bank services to the rural customers.
However, the governor has said he might review the decision.
Khaled, a joint district judge, said account maintenance fee should be waived up to the average balance of Tk 25,000 for all savers.
A senior Bangladesh Bank official also admitted that small savers are being affected with the latest account maintenance fee.
“The banks that did not charge for an account before could maintain it considering the interests of small depositors,” said Abu Hena Mohammad Razee Hasan, executive director of Bangladesh Bank.
Atiur also told The Daily Star that he would revise the decision if necessary to protect the interests of small depositors.
“We'll review the decision."
The BB issued the circular to specify account maintenance fee following different banks' wishful imposition of charges -- up to Tk 500 plus 15 percent VAT on half-yearly basis. Some banks also impose a fee if an account holder's balance falls below a certain amount set by them.
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