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Here's How Much Key Banks Charge For Non-Maintenance Of Minimum Balance

Customers failing to meet the average monthly balance (AMB) requirements in a month have to bear penalty charges.

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Here's How Much Key Banks Charge For Non-Maintenance Of Minimum Balance

The amount of penalty varies across banks on the basis of branch location.

Leading banks of the country such as State Bank of India (SBI), ICICI Bank, HDFC Bank, PNB Bank, among others, charge customers for non-maintenance of average monthly balance (AMB) in their savings accounts. Average Monthly Balance (AMB) is the minimum average of deposits required by the customers in their savings bank accounts. Customers failing to meet the AMB requirements in a month have to bear these penalty charges. However, the amount of penalty varies across banks on the basis of branch location. 

Here's a comparison of penalty charges for non-maintenance of AMB in SBI, HDFC Bank, ICICI Bank and PNB Bank:

State Bank of India (SBI):

SBI customers who have accounts in metro and urban centres are required to maintain an average monthly balance of Rs 3,000. Customers who maintain a balance equal to or less than 50 per cent of the required monthly balance are charged Rs10 per month plus the applicable GST (Goods and Services Tax) rate.

Metro and urban branch (required MAB Rs 3,000)Charges
Shortfall <= 50%Rs. 10 + GST
Shortfall > 50-75%Rs. 12 + GST
Shortfall > 75%Rs. 15 + GST
Semi-urban branch (required MAB Rs 2,000) 
Shortfall <= 50%Rs 7.50 + GST
Shortfall > 50-75%Rs 10 + GST
Shortfall > 75%Rs.12 + GST
Rural (required MAB Rs 1,000) 
Shortfall <= 50%Rs 5 + GST
Shortfall > 50-75%Rs. 7.50 + GST
Shortfall > 75%Rs 10 + GST

(As mentioned on SBI's website)

HDFC Bank:

Customers with a regular savings account in HDFC Bank branches located in metro and urban areas are required to maintain an average monthly balance of Rs. 10,000. The AMB required in semi-urban and rural locations is Rs. 5,000 and Rs. 2,500 respectively. The lender charges Rs 150 if the amount in savings account is less than Rs. 10,000 but more than Rs 7, 500, for metro and urban locations.

Description of ChargesRegular Savings Account
Minimum Average Balance RequirementsMetro / Urban branches: AMB Rs.10,000/-,
Semi-Urban Branches: AMB Rs.5,000/- ,
Rural Branches: AQB Rs.2,500/- or Fixed Deposit of Rs. 10,000 for minimum 1 year 1 day period
Charges applicable on non-maintenanceBalance Non-Maintenance Charges*
AMB Slabs Metro & UrbanSemi Urban
(in Rs.)AMB Requirement -Rs 10,000/-AMB Requirement –Rs. 5,000/-
>=7,500 to < 10,000Rs. 150/-NA
>=5,000 to < 7,500Rs. 300/-NA
>=2,500 to < 5,000Rs. 450/-Rs. 150/-
0 to < 2,500Rs. 600/-Rs. 300/-
* plus taxes as applicable 
AMB – Average Monthly Balance
 
AQB Slabs (in Rs.)Balance Non-Maintenance Charges* (per quarter) - Rural Branches
>= 1000 < 2,500Rs. 270/-
0 - <1000Rs. 450/-
*plus taxes as applicable 
AQB – Average Quarterly Balance

(As mentioned on HDFC Bank's official website)

ICICI Bank:

Customers with a regular savings account in ICICI Bank branches located in metro and urban areas need to maintain an average monthly balance of Rs 10,000. 

Minimum monthly average balance (MAB)*Metro and Urban locations - Rs.10,000
Semi-urban locations - Rs.5,000
Rural locations - Rs.2,000
Gramin locations - Rs.1,000
Charges for non maintenance of minimum monthly average balance (NMMAB)Metro/Urban/Semi-Urban/Rural locations :
Rs. 100 + 5% of the shortfall in required MAB
Gramin locations : 5% of the shortfall in required MAB

(As mentioned on ICICI Bank's official website)

PNB Bank:

Customers with a regular savings bank account in PNB located in metro, urban, semi-urban areas are required to maintain a minimum quarterly average balance of Rs. 2,000.

Minimum quarterly average balance (QAB) & charges for not maintaining QABArea Of BranchMinimum Quarterly. Average BalanceIncidental Charges
RuralRs.1000/-From Rs 25 to 250 as per location, category and deficit in QAB as per brackets in Rs.100s
Semi- UrbanRs.2000/-
UrbanRs.2000/-
MetropolitanRs.2000/-

(As mentioned on PNB Bank's official website)

There are certain accounts where AMB rules are not applicable. These accounts are called as zero balance savings accounts.

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