Banks charge a penalty from the customers who fail to maintain an average monthly balance.Regular savings bank accounts require customers to maintain a certain average monthly balance (AMB) every month.

Leading banks such as State Bank of India (SBI), HDFC Bank and ICICI 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.

Banks charge a penalty from the customers who fail to maintain an average monthly balance in their savings account.

The penalty varies according to various factors such as branch location.Here's a comparison of the average monthly balance and the penalty charges for insufficient balance in SBI, HDFC Bank and ICICI Bank:State Bank of India (SBI)Customers having a regular savings bank accounts in SBI branches located in metro and urban areas are required to maintain a monthly average balance of Rs.

3,000, said the country's largest lender on its 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.Branch typeAverage monthly balanceMetroRs.

3,000UrbanRs.

3,000Semi-urbanRs.

2,000RuralRs.

1,000(Source: sbi.co.in) SBI charges an 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. Metro and urban branch ChargesShortfall <= 50%Rs.

10 + GSTShortfall > 50-75%Rs.

12 + GSTShortfall > 75%Rs.

15 + GSTSemi-urban branch  Shortfall <= 50%Rs 7.50 + GSTShortfall > 50-75%Rs 10 + GSTShortfall > 75%Rs.12 + GSTRural  Shortfall <= 50%Rs 5 + GSTShortfall > 50-75%Rs.

7.50 + GSTShortfall > 75%Rs 10 + GST 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 Rs.

10,000, according to hdfcbank.com.

In semi-urban branches, the regular savings account holders are required to maintain an average balance of Rs.

5,000 every month.

In rural branches, the customers are required to either maintain an average quarterly balance (AQB) of Rs.

2,500 or set up a fixed deposit of Rs.

10,000 for a maturity period of a minimum one year and one day.Branch typeAverage monthly balanceMetroRs.

10,000UrbanRs.

10,000Semi-urbanRs.

5,000RuralRs.

2,500(Source: hdfcbank.com) HDFC Bank charges Rs 150 if the amount in your savings account is less than Rs 10,000 but more than Rs 7, 500, for metro and urban locations.Balance Non-Maintenance ChargesAMB Slabs (in Rs.)Metro UrbanSemi UrbanAMB Requirement Rs 10,000AMB Requirement Rs.

5,0007,500 to < 10,000Rs.

150/-NA5,000 to < 7,500Rs.

300/-NA2,500 to < 5,000Rs.

450/-Rs.

150/-0 to < 2,500Rs.

600/-Rs.

300/- Taxes are also applicable on the above mentioned amounts, according to HDFC Bank.   AQB Slabs (in Rs.)Balance Non-Maintenance Charges (per quarter) - Rural Branches1000 < 2,500Rs.

270/-0 - <1000Rs.

450/- ICICI Bank Customers having 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, according to the bank's website - icicibank.com.

The average monthly balance required in semi-urban, rural and gramin locations is Rs.

5,000, Rs.

2,000 and Rs.

1,000 respectively. Branch typeAverage monthly balanceMetroRs.

10,000UrbanRs.

10,000Semi-urbanRs.

5,000RuralRs.

2,000GraminRs.1,000 ICICI Bank charges Rs 100, plus 5 per cent of the shortfall in the required minimum monthly average balance for metro, urban, semi-urban locations.Charges for non maintenance of minimum monthly average balanceMetro/Urban/Semi-UrbanRs.

100 + 5% of the shortfall in required MABRural locationsGramin locations: 5% of the shortfall in required MAB However, banks also provide several savings accounts which do not require the customer to maintain any particular minimum balance every month.