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SBI Minimum Balance Rules, Penalty Charges For Non-Compliance Explained

Customers holding savings accounts in SBI's metro and urban branches are required to maintain an average balance of Rs 3,000 in a month.

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SBI Minimum Balance Rules, Penalty Charges For Non-Compliance Explained

SBI levies a penalty from its customers failing to comply with its monthly average balance rules


SBI or State Bank of India has set certain rules applicable to its savings account customers. Individuals holding regular savings accounts with SBI are required to maintain a monthly average balance (MAB) to the tune of Rs 1,000-3,000, according to the bank's website - sbi.co.in. The monthly average balance, which is the average of end-of-day balances in the savings account in a month, varies depending on the location of the branch. Customers failing to meet the minimum balance, or MAB, requirements in a month attract certain penalty charges, depending upon factors such as branch location and degree of shortfall from the required average.

Customers holding savings accounts in SBI's metro and urban branches are required to maintain an average balance of Rs 3,000 in a month to avoid penalty charges, according to the bank's website. Those with the regular savings accounts in semi-urban and rural SBI branches are required to meet a monthly average balance of Rs 2,000 and Rs 1,000 respectively, it noted.

(Also read: SBI accounts that you can operate with nil balance)

Penalty charges for insufficient balance in SBI savings account

Metro and urban SBI branches

The banking major charges a penalty amount ranging from Rs 10 plus GST (goods and services tax) to Rs 15 plus GST to customers failing to comply with the MAB rules in its metro and urban branches, according to the SBI website. 

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

(SBI levies a penalty from its customers failing to comply with its monthly average balance rules)

Semi-urban SBI branches

SBI charges a penalty amount from Rs 7.5 plus GST to Rs 12 plus GST for its customers failing to comply with the minimum balance or MAB rules in semi-urban branches, according to the bank's website.

Rural SBI branches

For customers holding regular savings accounts in rural branches, SBI has set penalty charges to the tune of Rs 5-10 plus GST for non-compliance with the monthly average balance rules, it noted.



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