Banking majors SBI (State Bank of India), ICICI Bank and HDFC Bank charge their customers a penalty fee for non-maintenance of the minimum stipulated balance in their savings bank accounts. This penalty fee, for failing to comply with the banks' separate monthly average balance or MAB requirements, ranges from Rs 5 to Rs 600 (excluding taxes and other charges). State Bank of India (SBI), for example, has set a monthly average balance requirement of Rs 3,000 for customers holding a savings bank account with its metro branch. Similarly, the other two major banks have also set different minimum balance average limits, failing to meet which attracts a penalty charge. Here's a lowdown of different minimum balance requirements set by these banks and the penalty charges applicable.
Minimum balance required in savings bank account - SBI vs ICICI Bank vs HDFC Bank
SBI
| Metro | Urban | Semi-urban | Rural | |
|---|---|---|---|---|
| SBI | MAB of Rs 3,000 | MAB of Rs 3,000 | MAB of Rs 2,000 | MAB of Rs 1,000 |
| ICICI Bank | MAB of Rs 10,000 | MAB of Rs 10,000 | MAB of Rs 5,000 | MAB of Rs 2,000 |
| HDFC Bank | MAB of Rs 10,000 | MAB of Rs 10,000 | MAB of Rs 5,000 | AQB of Rs 2,500 or FD of Rs. 10,000 (minimum 1 year 1 day) |
| (Source: SBI, ICICI Bank, HDFC Bank websites) | ||||
Penalty charges for non-compliance with monthly average balance (MAB) rules: SBI vs ICICI Bank vs HDFC Bank
SBIpenalty amountICICI Bankpenalty amountHDFC Bankpenalty amountEssential Business Intelligence, Continuous LIVE TV, Sharp Market Insights, Practical Personal Finance Advice and Latest Stories — On NDTV Profit.
