Service Charges

Revision of Service Charges – Foreign Exchange Related Services w.e.f. 10.09.2008: I.Export Related Transactions.
Service Charges

Revision of Service Charges – Foreign Exchange Related Services w.e.f. 10.04.2014: I.Export Related Transactions.

PARTICULARS REVISED CHARGES * (INCL. OF SERVICE TAX)
1. Export Bills Purchased/ Negotiated/Discounted

a) Processing charges for each foreign currency export bill

b) Processing charges for each rupee export bill

Commission For bills upto USD 5000
Rs 600/-
For bills over USD 5000 `1200/-
0.30%
Minimum `600/- Per bill
c)For forwarding export documents on which no collection, commission or exchange accrues to the bank (i.e. from one bank to the other in India) 0.30%
Min.`1000/- per bill
d) Reimbursement charges under Letter of Credit Upto USD 5000
`600/-
Over USD 5000 & upto USD 1 lac – `1200/-
Over USD 1 lac
`1500/ -per reimbursement
e) Forwarding export documents to another bank for negotiation to whom LC is restricted by the bank, which has booked the forward contract. 0.30 %
Minimum ` 1000/-

In respect of transactions other than US Dollars »

In respect of transactions other than US Dollars, the ceilings in amount would mean equivalent of the amount in USD.

For export bills (in foreign currency / Rupees) Purchased / Negotiated / Discounted, in addition to the above charges interest at the appropriate rate to be recovered for the transit period and usance and grace period if applicable.

f) For joining customers’ guarantees and giving guarantees on behalf of customers in respect of discrepant documents 0.20 % Minimum ` 1000/-
g) Overdue export bills purchased/negotiated/discounted, where proceeds are not received within 6 months. ` 250/- per month or part thereof
h) Charges for discrepancies in export document under L C. USD 50 / -
2. Collection Bills
a) Both foreign currency and rupee export bills. **
0.15 %
Min.`600/-
Max. `25,000 / -
b) Export bills sent for collection where proceeds are not received within 6 months** `300/- per month or part thereof
c) For each complete set of export document sent by the exporter directly to overseas buyer in terms of extant FEMA regulations while disposing of the relative GR forms. ` 700/- per bill
This charge is in addition to commission recovered while crediting proceeds of advance payment in the customer’s account.
d) Additional charge where proceeds of the bills are received through a Bank other than the collecting Bank at the instance of Exporter/Overseas buyer 0.15 %
Minimumof `600/-
3. Certificates Issuanceof certificates / attestation in respect of export transactions. `250/-per certificate
4. Registration of export contracts. ` 700/- flat per registration.
`400/- flat per amendment.
5. Processing fee for advance against Government Sponsored incentive scheme. 0.50 % Minimum `500/-
Max.25,000 / -.
6. Export letter of credit:
a) Advising letter of credit
(recording,scrutinizing, authenticating,
Verification)
`1500/- flat per Letter of Credit.
b) Advising amendments ` 600/- flat per amendment

**Applicable also in case of deferred exports »

**Applicable also in case of deferred exports if the relative proceeds are not received within the stipulated period.

**Not applicable in case of bills drawn on countries with externalization problem but paid in local currency and the exporters has obtained necessary approval from Reserve Bank.

c) Confirmation charges

  1. Commitment charges
  2. Usance charges
  1. All-in-one rates applicable as quoted for import Letters of Credit, below in import Related Transactions section.
  2. Plus processing fee for adding confirmation ` 1500/-
d) Transfer of letter of credit `700/- flat for each advice of transfer
e) Acceptance commission for accepting usance drafts to be drawn on and accepted by Banks in India.) 0.175 % per Quarter and part thereof
Minimum 1500/-

Import Related Transactions »

All-In-One rates for opening of Import Letters of Credit
1: Commission For establishing Letter of Credit (LC)

  1. Commitment charges
  2. Usance charges

Note: Erstwhile’ Commitment charges now termed as Issuance charges.

SIGHT LETTER OF CREDIT
Issurance Charges: 1.40% p.a. of L.C. Value* (For bills upto 10 days’ only)

  1. Upto `5.00 cr : Normal Rate
  2. Above `5.00 cr to ` 10.00 crs : Upto `5.00crs Normal rate
    Plus
    50% of normal rate above `5.00 crs upto `10.00crs
  3. Above `10.00cr : Upto `5.00crs Normal rate
    Plus
    50% of normal rate above `5.00crs upto `10.00crs
    Plus
    25% of normal rate above `10.00crs

Minimum one quarter charges tyo be recovered for all customers but not less than `600/- in any case

USANCE IMPORT LETTER OF CREDIT
Normal Sight LC issuance Charges plus Usance Charges: 1.08% p.a. of LC Value * to be recovered

  1. Upto `5.00 cr : Normal Rate
  2. Above `5.00 cr to ` 10.00 crs : Upto `5.00crs Normal rate
    Plus
    50% of normal rate above `5.00 crs upto `10.00crs
  3. Above `10.00cr : Upto `5.00crs Normal rate
    Plus
    50% of normal rate above `5.00crs upto `10.00crs
    Plus
    25% of normal rate above `10.00crs

Minimum one quarter charges tyo be recovered for all customers but not less than `600/- in any case

2) Commission for establishing LCs on 100% cash margin 25% of the normal applicable charges.
3) Amendment to LCs:

a)Extension of validity of LC within the period for which commitment charges have been collected

`700/- for all customers
b) Where extension of validity of credit goes beyond the period for which commitment charge has been collected. Issuance charges as applicable to establishment of LC.
Min. ` 600 / -
c) Enhancement of value of credit Usance and commitment charges as applicable to establishment of LC.
d) Amendment extending the tenor of the Bill of Exchange. usance charges at 0.09 % per month or part thereof.

Concession for confirmation of High »

$ Concession for confirmation of High value export LCs are applicable for both Commitment charge and Usance charge.

e) Amendment other than extension of validity or enhancement of tenor of the Bill of Exchange including Deferred payment LCs/ Guarantees `700/- flat for all customers
f) For revival of expired LCs within 3 months from date of expiry Issuance and usance charges from date of expiry to validity date of revived LC
4) Countersigning Bills of Exchange drawn on importers under LCs. 0.1% per month
Minimum 0.25% for the tenor of the bill in addition to commitment and Usance charges.
5). Revolving letters of credit.

a) Issuance charges

All-in-One rates for opening of Import Letters of Credit

SIGHT IMPORT LETTER OF CREDIT

Issuance Charges : 1.40% p.a. of LC Value* (For bills upto 10days’ only)

Upto Rs. 5.00 cr : Normal rate

Above Rs. 5.00cr to Rs. 10.00crs : Upto Rs. 5.00cr Normal Rate  Plus 50% of normal rate above Rs. 5.00crs upto 10.00 crs

Above Rs. 10.00cr : Upto Rs. 5.00cr Normal Rate  Plus 50% of normal rate above Rs. 5.00crs upto 10.00 crs Plus 25% of normal rate above Rs. 10.00crs

Minimum one quarter charges to be recovered for all customers but not less than Rs. 600/- in any case

b) Usance charges as per sight,  tenor of the bill on the maximum amount of drawing permitted at one time.

Note: Erstwhile ‘Commitment’ charges now termed as Issuance Charges.

USANCE IMPORT LETTER OF CREDIT
Normal sight LC Issuance Charges plus Usance Charges: 1.08% of LC Value* to be recovered.

$ LC up to ` 5.00 crore: Normal rate.

LCs above `5 crore & upto ` 10 crore: -Upto 5 crore – normal rate Plus
-For amount in excess of ` 5 crores – 50 % of normal rate.

LCs above ` 10 crores: -Upto ` 5 crores – normal rate plus
-For amount in excess ` 5 crores and upto
` 10 crores – 50% of normal rate Plus
-For amount in excess of ` 10 crores –
25% of normal rate.

Minimum one quarter charges to be recovered to all customers but not less than Rs. 600/- in any case

6. For establishing LCs / Guarantees on deferred payment terms covering import of goods: @ (a)Commission on the balance outstanding at the beginning of each quarter

SBH1/ SBHTL1
SBH2/ SBHTL2
SBH3/ SBHTL3
SBH4/ SBHTL4

Against GOI counter guarantee or 100 % cash Deposit.

(Rates per quarter or part thereof)

Upto ` 5 crore ` 5 to 10 crore Above
`10 crore
0.60% 0.30% 0.15%
0.60% 0.30% 0.175%
0.60% 0.30% 0.175%
0.60% 0.50% 0.25%

0.60% per quarter or part thereof for all customers rated below SBH4/SBHTL4

0.09% 0.075% 0.075%
@ Consortium Advances: Floor rate for retention of charges by any member bank for opening of LC and issue of BG will be as determined by the consortium of banks. However, a floor rate of 50% of the charges will have to be recovered.
7. Amendments: a) Extending validity period within 3 months (for which commission has already been collected). `600/- flat
b) Extending validity beyond 3 months period Additional commission at 0.60% per quarter or part thereof.
8. Commission on import bill (under LCs)
a) Foreign currency bills at the time of crystallization or retirement, whichever is earlier.
0.125 % ;  Minimum Rs. 500/-
b) Charges on account of discrepant documents USD 50 to be taken from outside party (Discrepancy charges should be stipulated at the time of opening LC)
c) Import bills received under letter of credit on which no exchange benefit accrues to opening bank. 0.30% Minimum Rs. 1000/-
d) i)Rupee bills at the time of retirement.
ii) If Bills are not retired within 10 days from date of receipt of the bills in case of demand bills and on the due date in case of usance bills.
0.30% Minimum Rs. 1000/-

Additional 0.125 %

9. Commission on import bills (not under L/C)
a)Where exchange margin is earned on foreign currency bills
0.30% Minimum Rs. 1000/-

(Maximum Rs. 20,000/-)

b) On each bill drawn in rupees and on each bill drawn in foreign currency on which no exchange margin accrues. 0.35 % Minimum `1000/-

(Maximum Rs. 20,000/-)

c) On bills/ documents covering project imports under inter-governmental aid scheme (including those financed by international agencies like World Bank, IMF, ADB, etc) where no letter of credit are opened. Flat 0.075 % Minimum `600/-

(Maximum Rs. 20,000/-)

d) In case of document received by importers directly from overseas exporters as permitted under FEMA. `2500/- for all customers
Non-customers ` 3500/- @

@- In case of Non-customer payment is to be received through A/c payee cheque drawn on their bank along with a certificate from his banker that account is ‘KYC & AML’ compliant. Customers should be asked to submit ‘BEF’ before making remittance.

10. If the overseas remitting bank or the exporter abroad requests proceeds of collection of bills to be remitted in a currency other than the currency of the bill. Additional commission at 0.175 %
10. Parcels In all cases `600/- per transaction.

II. Inward Remittances »

1. Type of transaction
a) Encashment of TTs and purchase of MTs/ DDs in respect of which cover has been received in Nostro A/cs.
Apply current TT Buying Rate. No exchange Margin or interest to be charged.
b) Encashment of TTs and purchase of MTs / DDs where reimbursement is to be obtained in cover by drawing DDs on overseas branches of correspondent Bank. Apply current TT Buying Rate plus exchange margin @ 0.125%. plus interest @ 15 % for a minimum period of 10 days.
c) Encashment of customer’s personal cheques, demand, drafts, international money orders, bankers pay orders payable abroad. Apply current TT Buying Rate Plus exchange margin @ 0.125%(our FCIP rate includes both the above components) plus interest @ 15 % for a minimum period of 10 days + ` 100/-
d) Rupee Draft issued by correspondent Bank
1) Drawn on the branch where correspondent bank rupee A/c is maintained.
Free of charge
2) Drawn on Branch under special arrangement where correspondent Bank rupee A/c is not maintained. Free of charge
2. Clean payment

a) Effected under instructions from foreign correspondents.
Stop Payment

Payment against draft ` 100/-
Payment against TT ` 150/-
`100/-
b) Where the inward remittance has to be paid in foreign currency by way of a demand draft /mail transfer/ payment order /telegraphic transfer. ` 600/- flat per transaction
3. Certificates: A)For issuing bank certificate on security paper/Bank’s letter head in respect of clean remittances from abroad and/ or for Encashment of foreign currency traveler’s cheques/foreign currency notes.
B) Issue of Certificates on Banks letterhead (where Rupee value of inward remittance does not exceed ` 5,000/-).
` 100 / – per certificate
` 100/- per certificate

III. Outward Remittances »

a) i)On all foreign currency outward remittances not being proceeds of import bills.

ii) Issue of duplicate foreign currency draft

Individual ` 100/- .For others
` 600/- flat per remittance plus actual out of pocket expenses ie., postage & courier charges.
Individuals ` 100/- + actual out of pocket expenses.
Others ` 300/- + out of pocket expenses.
b) Rupee Remittances Individuals: 0.125% Min. 125/- in all cases
Others: 0.30% Min. ` 600/- in all cases
c) Outward remittances from FCNR (B) A/cs, NRE A/cs Free of charge

V. Clean Instruments for Collections »

Clean instruments sent abroad for collection. Individuals at 0.30%, Min ` 300/-
Others at 0.30%(, Min `600/-
Maximum ` 25000/-).
  1. Opinion Report for exporter / importer (both)
  2. Opinion Report on our customer provided to foreign Bank.
  1. Actual paid to outside agencies plus out of pocket expenses
  2. USD 100/- per opinion to be recovered from foreign banks.

VI. Merchanting Trade »

(If foreign currency remittances are received in advance by the exporter from the overseas buyer and the funds are held in Nostro account at the specific request of the exporter)

Commission:

  1. On import bills received under back to back LC.
  2. On export bills drawn by merchant exporters
No charges specified.

0.225%

0.225%

VII. Forward Contracts »

  1. For booking of sales and purchase contracts
  2. For each request for early delivery, extension or cancellation
  1. ` 700/- flat per contract
  2. ` 700/- plus swap cost and cancellation charges wherever applicable.

VIII. Foreign Currency Travellers Cheques »

Sale of foreign currency Travelers cheques:

  1. Commission on rupee equivalent value of traveller cheques sold to Indian Residents.
  2. Commission on foreign currency travellers cheques issued against foreign currency remittance at the request of the beneficiary.
  1. 1 %
  2. 0.25 %

IX. Foreign Currency Loans »

FCDL Transaction fee (Upfront)
FCTL Transaction fee (Upfront)
`25,000/-
`35,000/-

X. Guarantees »

1. Guarantees favouring shipping companies / agencies pending production of Bill of Lading.

  1. Where LCs have been opened by us
  2. Other guarantees
  1. `700/- flat
  2. 0.30% for 3 months plus 0.150% for each additional month.
2. Guarantees for Project exports

  1. ECGC Cover
    1. 75 %
    2. 90 %
  2. Against 100 % GOI Counter Guarantee
  3. Against 100 % Cash Deposits to the extent of Banks liability
  4. Other guarantees (Not covered by a/b/c above)
    1. 0.50% p.a.+ECGC premium
    2. 0.40% p.a.+ECGC premium
  1. 0.045% per month Minimum 0.150 %
  2. 0.030%. per month  minimum 0.125 %
  3. 1.15% per annum.
3. Other Export Performance Guarantees, Bid Bonds & those for deemed exports (@) 0.10 % per month,
Minimum 0.30 %
4. All other Guarantees ** Where

  1. 100 % GOI counter Guarantee
  2. 100 % cash deposit to the extent of bank’s liability.
  3. Others
0.175 % per month Min. 0.30%
5. Guarantees issued on behalf of overseas banks/parties

(where charges are payable by overseas banks / parties)

0.175% per month
Minimum 0.30%
6. Issuance of Bank Gurantees against 100% of more cash margin and also against counter Gurantee of Government of India 25% of the normal applicable charges, to be recovered.

(@) Includes export performance guarantees, Bid Bonds etc., (other than for project exports) and export performance guarantees covering export obligations in terms of import trade control regulations and export performance guarantees / bid- bonds connected with deemed exports.

The period of liability for calculations of charges shall include the claim period.

Guarantees for amount of more than 5.00 crores attract lower charges as per table given below.  Details of charges to be leived on the portion of amount exceeding rs. 5.00crores
Nature of GUARANTEE SBH-1 SBH-2 SBH-3 SBH-4 & Below
1. Guarantees Favouring Shipping Cos/Agencies pending production of B/L

a) L/C opened by us

b) Other Guarantees

Rs.250

0.200% for 3 months +0.100% for each additional month

Rs.250/-

0.200% for 3 Months +0.120% for each additional month

Rs.500/-

0.250% for 3 months +0.120% for each additional month

Rs.500/-

0.250% for 3 onths+0.150% for each additional month

2.Gurantees for Project Exportsa)ECGC cover

i) 75%

ii)90%

b)100% GOI Counter Guarantee

c)100% of cash Deposits

d)Other Guarantees (not covered by a/b/c above)

0.300%p.a +ECGC premia

0.250% p.a.+ ECGC premia

0.300% p.a

0.250% p.a

0.750%p.a

0.350% p.a +ECGC premia

0.250% p.a.ECGC premia

0.300% p.a

0.250% p.a

0.800% p.a

0.400% p.a +ECGC premia

0.300% p.a.ECGC premia

0.300% p.a

0.250% p.a

0.900% p.a

0.450% p.a +ECGC premia

0.350% p.a.ECGC premia

0.300% p.a

0.250% p.a

1% p.a

3.Other Export Performance Guarantees, Bid Bonds etc. and those for Deemed Exports 0.065% per months Min 0.250% 0.070% per months Min 0.250% 0.080% per months Min 0.250% 0.085% per months Min 0.250%
4. All other guarantees against 0.090% per month Min 0.250% 0.100% per month Min 0.250% 0.120% per month Min 0.250% 0.150% per month Min 0.250%
XI. OUT OF POCKET EXPENSES

Such as Telex/ Cable/ Swift / Correspondence Bank’s Charges

Actual to be recovered
XII. STAMP DUTY As per charges prescribed by Government of India

XIII. Issuance of Rate Certificates »

Period Non-Customers Customers Discretion
Upto past 12 months `250/- for a block of 4 different currency rates or part thereof. 50% charges of what is applicable to non-customers Branch Managers of AGM / Scale IV incumbency branches and AGM at controlling office in case of other branches will have discretion to grant waiver upto 100% to customers on client-specific business considerations.
More than 12 months upto 60 months `500/- for a block of 4 differential currency rates or part thereof. - do - - do -
More than 60 months `1000/- for a block of 4 different currency rates or part thereof - do - - do -
Notes:

  1. Actual out of pocket expenses to be recovered in all cases.
  2. Charges for service not covered above will continue as extant
  3. Where the business is shared between other banks, the charges would be shared in the agreed proportion.
  4. Where bank charges are to be recovered from the overseas buyers/ sellers but are refused by them, such charges shall be recovered from the customers

XIV. Letters of Comfort & Service Charges »

  1. Backed by 100 % cash margin —- 0.525 % p.a.
  2. Others — 2.10%.
  3. Minimum charge for 3 months or Rs.10,000/- whichever is higher will be recovered.

XV. Service charges for filing of Overseas Direct Investment forms »

Service rendered Charges Proposed
Form ODI part-1

Processing of proposals of Overseas Direct Investment in Joint Venture / Wholly Owned (for obtaining UIN number)

Rs.5000.00
Form ODI Part III

Annual Performance Report Submission to RBI

Rs.1000.00
Form ODI Part-IV

Report on closure/disinvestment/voluntary liquidation/winding up of JV/WOS

Rs.1000.00

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