Customers failing to meet the MAB requirements have to bear certain penalty charges.Most of the banks across the country require customers to maintain a monthly average balance (MAB) in their regular savings accounts.
Monthly Average Balance (MAB) is the sum of all the end of day (EOD) closing balance divided by the number of days in that month.
State-run SBI (State Bank of India) to private sector lender HDFC Bank- both have fixed a certain monthly average balance requirementaccording 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 have to bear certain penalty charges.State Bank of India (SBI)Customers with a regular savings bank account in SBI branches located in metro and urban areas are required to maintain a monthly average balance of Rs3,000, according to SBI's official website - sbi.co.in.
Customers who have a savings accounts in semi-urban and rural branches of SBI are required to maintain a minimum average balance of Rs 2,000 and Rs 1,000, respectively.Customers failing to meet the MAB requirements have to bear the following 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 official website)HDFC BankCustomers having a regular savings account in HDFC Bank branches located in metro and urban areas are required to maintain an average monthly balance of Rs10,000, according to bank's official website - hdfcbank.com.
The regular savings account holders are required to maintain an average balance of Rs5,000 every month in semi-urban branches of HDFC Bank.
Customers with accounts in rural branches are required to maintain a MAB of Rs 5,000 andRs 2,500 respectively.Customers failing to meet the MAB requirementshave 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 SlabsMetro UrbanSemi Urban(in Rs.)AMB Requirement -Rs 10,000/-AMB Requirement Rs.
5,000/-gt;=7,500 to < 10,000Rs.
150/-NAgt;=5,000 to < 7,500Rs.
300/-NAgt;=2,500 to < 5,000Rs.
450/-Rs.
150/-0 to < 2,500Rs.
600/-Rs.
300/-* plus taxes as applicableAMB Average Monthly BalanceAQB Slabs (in Rs.)Balance Non-Maintenance Charges* (per quarter) - Rural Branchesgt;= 1000 < 2,500Rs.
270/-0 - <1000Rs.
450/-*plus taxes as applicableAQB Average Quarterly Balance