Sweep – in & Sweeo-Out Facility for savings account

POSTED BY Ram ON October 11, 2012 12:12 pm COMMENTS (4)

Dear All

I have savings accounts in IDBI, ING Vysya and SBI, where lot of funds are lying idle (currently, about 3L all together).

Can anybody guide me , if any of these Banks offer Auto Sweep-In facility. I tried to explain to their local branches (Not my home branch), but, I could not convince them (over phone). 

Regards
Ram

4 replies on this article “Sweep – in & Sweeo-Out Facility for savings account”

  1. VIGNESH BASKARAN says:

    Dear ram,

    I am personally using SBI sweep in and Sweep out.

    Let me tell the things which i know

    1. this scheme is called as Savings Plus account.

    2. Minimum balance Rs.5000/-. Threshold above which the sweep in need to happen.

    Thershold can be 5000. and above that the balance atleast need to be 10000 to put taht in the current FD rateof .interst

    Tenure of the FD can also be mentioned.

    3.Automatically when u need the money u can withdraw using the atm./transfer online whenver u need. the amount which u are withdrawing the accured interest for the amount will be put into the savings acc when we take out that money.Only the fixed deposit is split into 1000 units only.

    Say 10000 Fd u have put for 1 yr @ 9,5 int.

    u are taking 2500 rupees after two months. Entire amount will not be taken out.only 2500 and its interest will be swept out and remaining amt still earns the FD interest.

    SBI follows LIFO (Last in first out) startegy. see u have a ladder of Fd oct, nov,dec, now u taking money more than the savings then ur dec FD will be broken.

    No separate forms are given in the SBI. i have given a written letter by visitng the branch. it is stil working. No problem

    Post me if you have any queries/ doubts in the above explantion

  2. HARI LAL says:

    You have to appraoch the bank and find out all the detail, where you want to deposit your money.I agreed with Vinu ji, every bank have their own rule and policy on deposit.

    1. Ram says:

      I tried to contact these branches. I spoke to customer care over phone. I went to nearest branch. None of them aware about this schemes. Some body partially aware.

      I may have to visit the home branches for more details. Home branches are farther and I could not go there.

      Anyhow, I will try to go to home branch for more clarifications.

      Thank you all for your replies.

      Regards
      Ram

  3. Vinu says:

    Ram,

    Many banks have Auto Sweep-in facility with different name. Please read below article from Jago Invester for more information:

    https://www.jagoinvestor.com/2011/03/auto-sweep-bank-account.html

    I am aware of OBC, where minimum S/B balance required is 25K and anything above this will auto Sweep to FD and Interest rates are good.

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