#FinancialBytes: Minimum balance rules of SBI, HDFC, ICICI bank
Saving bank accounts require the customers to maintain a certain specified average monthly balance (AMB). The banks fix this amount up, according to the location of the account, ie. urban/metro, semi-urban, and rural areas. In case a customer fails to maintain this average balance, they are charged a penalty by the bank. Here are the minimum balance rules of SBI, HDFC and ICICI bank.
State Bank of India: Average monthly balance (AMB) rules
SBI customers located in metros and urban areas are required to maintain a monthly average balance of Rs. 3,000, while the minimum required amount for those having an account in semi-urban areas is Rs. 2,000, and for those in rural areas, it is Rs. 1,000.
SBI: Applicable penalties for customers in metros/urban areas
Customers with an account in metros and urban areas, having a shortfall in the required average minimum balance of less than or equal to 50% are charged Rs. 10+GST. On the other hand, those with a shortfall between 50-75% are charged Rs. 12+GST, while those having a shortfall of more than 75% have to face a penalty of Rs. 15+GST.
SBI: Applicable penalties for customers in semi-urban areas
For customers having an SBI bank savings account in semi-urban areas, a shortfall of less than 50% would invite a penalty of Rs. 7.50+GST, while a shortfall of 50-75% would imply a penalty charge of Rs. 10+GST. Finally, those having a minimum balance shortfall of more than 75% are bound to be charged Rs. 12+GST.
SBI: Applicable penalties for customers in rural areas
SBI customers having an account in rural areas are charged Rs. 5+GST for a shortfall of less than 50%; Rs. 7.5+GST for a shortfall between 50 and 75%, and Rs. 10+GST for having a shortfall greater than 75% of the average minimum balance.
HDFC bank: Average monthly balance (AMB) rules
The average monthly balance requirement (AMB) for HDFC bank savings account customers is Rs. 10,000 for metros and urban branches, and Rs. 5,000 for customers in semi-urban areas. On the other hand, customers having an HDFC savings account in rural areas must maintain a minimum balance of either Rs. 2,500 or set up an yearly fixed deposit of Rs. 10,000.
HDFC: Applicable penalties for customers in metro/urban areas
HDFC customers in metros and urban areas are charged Rs. 150 if their AMB is between Rs. 7,500 and 10,000. The charges for those having an AMB between Rs. 5,000-7,500 is Rs. 300 (plus taxes). For those having an average balance between Rs. 2,500-5,000, penalty is Rs. 450, and those with an average balance of less than Rs. 2,500, penalty is Rs. 600.
HDFC: Applicable penalties for customers in semi-urban areas
HDFC customers having a savings account in semi-urban branches are charged Rs. 150 if their average monthly balance is between Rs. 2,500-5,000, while those with an average balance of less than Rs. 2,500 have to pay a penalty of Rs. 300 (plus taxes).
HDFC: Applicable penalties for customers in rural areas
HDFC bank customers holding a savings account in rural areas need to pay a penalty of Rs. 270 if their Average Quarterly Balance (AQB) falls between Rs. 1,000 and Rs. 2,500. On the other hand, those account holders with an AQB of less than Rs. 1,000 are charged a penalty of Rs. 450 (plus taxes as applicable).
ICICI bank: MAB and penalty rules
The average monthly balance requirements for ICICI bank customers in metro/urban areas is Rs. 10,000, while the same is Rs. 5,000 for customers in semi-urban areas; Rs. 2,000 for those in rural areas, and Rs. 1,000 for those in Gramin locations. Penalty charges for customers in Metro/urban/semi-urban/rural areas is Rs. 100 plus 5% of the shortfall in the required MAB amount.
Penalty charges for customers in Gramin locations
For Gramin location customers of ICICI bank, the penalty charges are equivalent to 5% of the shortfall in the Minimum Average Balance (MAB).
