Customers failing to meet the MAB requirements in a month have to bear certain penalty charges.Regular savings accounts in banks require customers to maintain a certain minimum average balance (MAB) every month.
Leading lenders such as State Bank of India (SBI), HDFC Bank, ICICI Bank and Kotak Mahindra Bank have fixed their monthly average balance requirements according to the location of a customer's account in urban, metro, semi-urban and rural areas, among other factors.
Customers failing to meet the MAB requirements in a month have to bear certain penalty charges.
The amount of penalty varies on the basis of branch location.State Bank of India (SBI)SBI customers with accounts in metro and urban branches are required to maintain a minimum average balance of Rs 3,000 every month.
Customers with accounts in semi-urban branches are required to maintain an MAB of Rs 2,000, and those with accounts in rural branches are required to maintain an MAB of Rs 1,000, according to the bank's website - sbi.co.in.Non-maintenance of the MAB requirements lead to these penalty charges:Metro and urban branch (required MAB Rs 3,000)ChargesShortfall <= 50%Rs.
10 + GSTShortfall > 50-75%Rs.
12 + GSTShortfall > 75%Rs.
15 + GSTSemi-urban branch (required MAB Rs 2,000) Shortfall <= 50%Rs 7.50 + GSTShortfall > 50-75%Rs 10 + GSTShortfall > 75%Rs.12 + GSTRural (required MAB Rs 1,000) Shortfall <= 50%Rs 5 + GSTShortfall > 50-75%Rs.
7.50 + GSTShortfall > 75%Rs 10 + GST(As mentioned on SBI's website)HDFC BankCustomers with a regular savings account in HDFC Bank branches located in metro and urban areas are required to maintain a monthly average balance of Rs 10,000.
The monthly average required in semi-urban and rural locations is Rs.
5,000 and Rs 2,500 respectively, according to the bank's website - hdfcbank.comCustomers failing to meet the MAB requirements in a month have to bear the following penalty charges:Description of ChargesRegular Savings AccountMinimum 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 periodCharges 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 BalanceParticulars ChargesNMC (Non Maintenance Charges)If AMB <=25% of required Product AMBRs.500If Salary upload is not sighted for 2 consecutive months and AMB not maintainedIf AMB >25% <=50% of required Product AMBRs.400 If AMB >50% <= 75% of required Product AMBRs.300 If AMB >75% of required Product AMB but less than product AMBRs.150However, there are certain accounts where MAB rules are not applicable.
These accounts are called as zero balance savings accounts.