Last week I opened a Priority Savings account with Axis by depositing 2 lakhs. I had just gotten a couple of credit cards from them as well as health insurance and thought opening a basic account might be a good idea. However the bank staff really insisted on the Priority account and practically forced me to choose that one claiming there would be no fees for not maintaining the requisite minimum balance of 2 lakhs. They claimed that I could keep it for 6 months and then downgrade and thus I would get a free debit card. I don’t anticipate using this account as I already have at least 6 other savings with various banks but only use a couple of them for routine transactions. Most of them are for the 7% savings interest rate. I have high tier savings accounts with many banks where you get to sit in a private lounge and sip coffee while they do your transaction. However, the Axis Bank staff have been very unhelpful and unresponsive compared to other banks. After reading about people getting charged high fees for not maintaining the AMB, I don’t believe their assurance that no fee would be charged.
After seeing the charges as well as the fact that the minimum balance required is 4 lakhs while the opening amount has to be 2 lakhs, I feel that this account won’t be beneficial for me. I could easily keep the 4 lakhs but the interest rate is only 3% and thus I would lose around 12k per year for no reason. I feel really bad as I just received the beautiful welcome package with the Priority debit card. I am dreading going back to the same branch as they would try to talk me out of it. As per their terms, you have 14 days to close the account or they would levy a 500 Rs fee. So could I go to a different branch and do so? Is it possible to change it to something like Easy Savings where you only have to keep around 12k? Is there an option to not receive a physical debit card to avoid paying the needless fee?
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If I downgrade, will they charge me for the issuance of the current debit card or the debit card for the new account? Is it obligatory to have a debit card?
I have had an axis prestige account since 2 years, i had not maintained average quarterly balance in between for 3-4 months, no money was charged...after a year they changed TNC to "maintain 25% of required quarterly balance to avoid charges"
What other banks accounts you have where you get 7% interest rates?
Currently Fincare, Equitas and AU. Also have RBL at 6% and IDFC which is now lower but used to be 7% about a year back. Note, all of them now offer 7% only on balance above 5 or 10 lakhs.
Yes, I saw that. However would they impose fees first?
