Salary account conversion to Regular Savings Account

[AAK]

Salary accounts have some benefits like Zero Balance , account , decent ATM withdrawal limits as well as waiver on certain charges like debit card charges etc.

Has anybody have experience with HDFC ( or any other Bank) salary account being converted to normal savings account automatically on non credit of salary for consecutive 3 months ?
Can I open another salary account in other bank without losing benefits of previous bank ?

 

[AAK]

@godric_gt which Bank ?
Kind of unusual as Salary Account doesn't necessarily means it requires authorisation of Hr every time.

Since you moved your salary account to other bank , did your previous account got converted to Regular Savings account ?

 

[Smh]

I think you should maintain 10k or whatever normal MAB is required if you want to continue using hdfc and not get unwanted surprise fines.

I did that mistake with icici, luckily my account became dormant with positive bal so probably it's still tagged as salary. Home branch is too far and I don't want to go there just to close the account. Reactivation could trigger fines or something so I don't really bother about it.

Though it's annoying for me to have that dormant account.

 

[manu1991]

In my case when I did an internship while in university, they opened a salary account with HDFC which automatically got converted to a regular savings accounts 2 months after the last salary credit into it.

then when I started a full time job, I gave the same account details and it got converted to a salary account again

 

[AAK]

then when I started a full time job, I gave the same account details and it got converted to a salary account again

Account got converted into Salary Account automatically or did you asked bank people to convert it ?

 

[mhsabir]

I had ICICI salary account which got converted into savings account after 6 months of no salary credit and low balance back in 2010. I did get a courtesy call saying it is being converted and that i need to keep minimum balance. I got it converted to salary again later after a couple of years and yeah it had to be done through an ICICI representative by filling a form through my new company.

 

[godric_gt]

@AAK
I had my salary account in Kotak, after I switched jobs they did not convert it into a normal account, they would not do it even when I asked them. So I decided to close the account and open another one. But this didnt quite work out properly, it seems they are keeping all details with the CRN, so my office address stayed, and when I asked them to change it they refused and asked me for HR letter instead.

@Smh
Dormant accounts also keep accumulating charges, I have faced it with Axis Bank, with HDFC. They cannot make the balance negative, but they do keep a track of the expenses and will ask you to clear it up if you visit them to close. Furthermore banks are starting to take really nasty steps to recover their dues. Here's one Man fails to make credit card payment, HDFC Bank does THIS

 

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[tyrannosaurhex]

I have an ICICI Salary account which was opened back in 2009. I quit the job in 2010.

It is still a salary account.

 

[mikrotik]

Dormant accounts also keep accumulating charges

I had few current accounts that were dormant with axis bank. Once the account becomes dormant, no charges can be debited or applied. I restored those accounts and no charges were deducted for not maintaining AQB.

 

[godric_gt]

I suppose this depends entirely on the bank branch, because I had to fight tooth and nail to get them to waive it off completely, even until the last 100 rupee.

 

[tyrannosaurhex]

@Smh
Dormant accounts also keep accumulating charges, I have faced it with Axis Bank, with HDFC. They cannot make the balance negative, but they do keep a track of the expenses and will ask you to clear it up if you visit them to close. Furthermore banks are starting to take really nasty steps to recover their dues. Here's one Man fails to make credit card payment, HDFC Bank does THIS

Credit cards and Bank accounts are very different products. Collections for credit cards has always been very active and aggressive by banks. For bank accounts they don't show up at your door to pay as with Credit Cards.