Penalty Charges Levied By Top Lenders For Non-Maintenance Of Minimum Balance
Top banks such as SBI, HDFC Bank and ICICI Bank have fixed their monthly average balance
Regular savings bank accounts require customers to maintain a certain average monthly balance (AMB). Banks such as State Bank of India (SBI), HDFC Bank and ICICI Bank have fixed their average monthly balance requirements according to the location of a customer's account in urban, metro, semi-urban and rural areas. Banks also charge a penalty from customers who fail to maintain an average monthly balance in their savings account. The penalty varies according to various factors such as location of branch.
Here are the penalty charges levied for non-maintenance of balance by SBI, HDFC Bank and ICICI Bank:
State Bank of India
Customers having a regular savings bank account in SBI branches located in metro and urban areas are required to maintain a monthly average balance of Rs. 3,000, according to the bank's official website, sbi.co.in. Customers with SBI savings accounts in semi-urban and rural branches are required to maintain a minimum average balance of Rs. 2,000 and Rs. 1,000, respectively. Customers failing to meet these requirements have to pay the following penalty charges:
Metro and urban branch (required AMB Rs. 3,000) | Charges |
Shortfall <= 50% | Rs. 10 + GST |
Shortfall > 50-75% | Rs. 12 + GST |
Shortfall > 75% | Rs. 15 + GST |
Semi-urban branch (required AMB Rs. 2,000) | |
Shortfall <= 50% | Rs. 7.50 + GST |
Shortfall > 50-75% | Rs. 10 + GST |
Shortfall > 75% | Rs.12 + GST |
Rural (required AMB Rs. 1,000) | |
Shortfall <= 50% Shortfall > 50-75% Shortfall > 50-75% | Rs. 5 + GST Rs. 7.50 + GST Rs. 10 + GST |
