A lien amount is the sum of money that a lender has a legal claim against an asset. Generally, a lender or a bank places a lien on an asset, such as a car or property, if you take a loan to purchase it.
What is the lien amount in SBI?
A lien amount in SBI is a sum of money that SBI ‘locks’ on an account holder’s funds, making it unable to withdraw until the lien is lifted. Generally speaking, a lien amount is a portion of funds held or frozen by SBI, either due to low minimum balances or loan-related security requirements. It is a temporary hold that is released once the reason for the freeze is resolved.
| Lien Amount in SBI | |
| What it is | To ensure the bank can recover money if the account holder doesn’t repay the dues. |
| Why it’s used | Go to the account summary page through Netbanking or the SBI YONO app. |
| How to check | Go to the account summary page through Netbanking or the SBI YONO app. |
| How to remove | Once the reason for the freeze is resolved. |
Why does SBI impose a lien amount?
There are six reasons why SBI imposes a lien amount on your account, including failing to meet minimum balance requirements, pledged fixed deposits for collateral loans, missed EMIs, issues with cheques or drafts, and unpaid taxes. Sometimes, it is an SBI system glitch only.
What are the types of liens marked on SBI accounts?
There are five types of liens that are imposed in SBI accounts, typically placed to secure outstanding dues or obligations. The types of liens marked on SBI accounts are listed below.
- Bank lien: It is placed by the State Bank of India (SBI) when a customer has outstanding dues, including loan EMI defaults, overdrafts, or unpaid credit card bills. SBI reserves the right to freeze the amount until the dues are cleared.
- Customer-initiated lien: This is a lien marked on a fixed deposit (FD) or account balance to get an overdraft facility or secure a loan on the account holder’s request. The customer-initiated lien is not withdrawn until the obligation is fulfilled.
- Legal lien: The legal lien is imposed by government authorities or courts due to legal proceedings, income tax issues, or regulatory actions. The bank does not have the authority to remove this lien without proper authorization from the government or court.
- System-generated lien: This lien is created automatically due to pending transactions, ECS mandates, or insufficient funds for scheduled payments. This system-generated lien is removed once the transaction is completed or funds are available.
- Third-party lien: The third-party lien is marked when a guarantee or security is provided for another person’s loan or credit facility. The amount remains blocked until the obligation is settled.
What are the reasons for the lien amount in SBI accounts?
A lien amount is placed on the SBI account for several reasons, including suspicion of unlawful activities, failure to repay dues like loan EMIs, credit card bills, or taxes, and to secure a loan.
The reasons for the lien amount in SBI accounts are listed below.
- ASBA orders: Application Supported By Blocked Amount or ASBA is an application process for IPOs where the money you bid is temporarily blocked in your bank account. The amount stays in your account and is not usable until the IPO process is complete, ensuring the IPO order is processed on time. When you apply using ASBA, the specified amount is reserved until the allocation is done.
- Virtual cards: These are pre-paid cards created to gift someone, where the amount the card is created for is placed under lien with a validity of 48 hours. If the card is not used within that time, it automatically expires, and the amount is removed from the lien.
- Loans on term deposits: A lien is placed on the SBI fixed deposits and term deposits when a customer takes a loan against their SBI Fixed Deposits/Term Deposits to avoid premature withdrawal of the FD.
- Cheque clearance issues: SBI also places a lien on the cheque amount when a cheque to a third party is being cleared and the clearance is taking time or facing issues.
- Unpaid EMIs: The SBI places a lien on the bank account when an EMI is overdue. This is a short-term, temporary lien and gets removed automatically once the EMI is paid.
- Tax liability overdue: SBI also places a lien on the account for overdue tax liabilities upon getting a request from the authorities, including the Income Tax Department.
- Technical glitches: Sometimes, the lien is just placed on the account due to a system error.
The step-by-step guide on how to check and remove a lien amount in SBI is given below.
How to check if your SBI account has a lien?
If your SBI account has a lien, it is visible under the lien details in the account summary in your SBI net banking dashboard and the YONO app. To check the SBI account’s lien details, follow the steps listed below.
- Log in to SBI Netbanking using a web browser or open the SBI YONO app.
- Navigate to Account Summary.
- The Lien Amount header will show up with the amount placed under the lien.
Generally, SBI notifies its customers via SMS or email whenever a lien is marked on the account.
How to remove a lien from SBI account?
The ways to remove the lien amount in the SBI account are given in the table below.
| Reason for Lien | How to Remove It | Documents Required | Additional Notes |
| ASBA Orders (IPO) | Cancel the ASBA order in your netbanking or IPO portal. | None | Lien will auto-remove once the order is cancelled. |
| Virtual Cards | Cancel the card within 48 hrs or wait for expiry. | None | Amount auto-released after 48 hrs if unused. |
| Loan on Term Deposits (FD) | Repay the loan in full or close the loan account. | Loan closure statement, NOC | Lien protects the bank’s interest in the FD. |
| Unpaid EMIs | Pay the outstanding EMI amount. | Payment receipt | Consider consolidation/home equity loans if repayment is difficult. |
| Cheque Clearance Issues | A personal visit may be necessary for quick resolution. | Usually none; may request official communication | A lien protects the bank’s interest in the FD. |
| Tax Liability | Pay pending taxes and submit proof if needed. | Tax payment receipt | Placed on the bank’s instructions from authorities (e.g., Income Tax Dept). |
| Technical Glitch | Contact SBI Customer Care or visit the branch. | None | Often resolved quickly once reported. |
What are the documents required to remove a lien on SBI account?
The documents required to remove the lien on the SBI account include closure confirmation documents for virtual cards, ASBA orders, and loans on FDs. For virtual cards, ASBA orders, and loans on FDs, the liens are removed once you cancel the orders or close the accounts.
The documents required to remove a lien on the SBI account are listed below.
- Loans: The loan closure statement and NOC letter.
- Cheques: There is no specific document for a cheque, but you receive an official email for your records.
- Tax liability: The document required for a tax liability lien is a tax payment receipt.
How do I send a lien removal request to SBI?
You can send a lien removal request to SBI using your SBI Netbanking. The steps to send the lien removal request to SBI are listed below.
- Log in to SBI Netbanking using your SBI Netbanking Username and Password.
- Click on Requests > Others > Remove Lien from the top menu bar.
- Enter remarks and then click on the Submit button.
You also have the option to visit your nearest SBI Branch and talk to the SBI Branch Manager to resolve the issue. The lien removal request letter in PDF format is available to download here.
How long does SBI take to remove a lien?
State Bank of India (SBI) takes around 24-48 hours to remove the lien marked on the account. Sometimes, the process also takes up to 7 working days after you take the necessary steps to resolve the issue.
Whom should I contact for SBI lien-related issues?
You should contact the SBI Branch Manager for quick resolution. You can also call the SBI customer care, send an email to SBI customer care, or send a grievance redressal email to SBI. The contact details of SBI are given below.
| Contact Method | Details |
| Toll-Free Number | 1800 112 211 / 1800 425 3800 |
| customer.care@sbi.co.in | |
| Email (CMS Department) | cms.sbi@sbi.co.in |
In case the issue is not resolved through SBI, contact the RBI Banking Ombudsman to resolve the issue.
How can I prevent the lien amount in the SBI account?
You can prevent the lien amount in the SBI account by maintaining the minimum account balance, ensuring EMIs and taxes are paid on time, ensuring due diligence while processing cheque transactions, and regularly reviewing account statements for potential issues.
Is SBI bank safe to keep money?
Yes, SBI (State Bank of India) is very safe to keep your money. SBI is a public sector bank owned by the Government of India, which adds a layer of security and trust. The bank is also insured by the Deposit Insurance and Credit Guarantee Corporation (DICGC) up to ₹5 lakh per depositor per bank.
The State Bank of India (SBI) is India’s largest bank with robust capital reserves and a global presence in 30+ countries.
