Is there a penalty for not maintaining balance in savings bank accounts?
Yes. All banks charge a penalty for not maintaining a minimum balance in your savings bank account. This does not include zero balance and Jan Dhan Yojana accounts. Some banks also waive it on salary accounts. The penalty varies from bank to bank, and also depends on whether the branch is in a metro, urban, semi-urban or rural area.
How much penalty do banks charge and how do they calculate it?
Banks look at the average balance one maintains in a month. The penalty can vary from ~20 to ~250 a month plus service tax. It is levied in slabs. If the average balance is 75 per cent of the required amount, the penalty is less. If it’s 25 per cent, it would be higher.
Yes. All banks charge a penalty for not maintaining a minimum balance in your savings bank account. This does not include zero balance and Jan Dhan Yojana accounts. Some banks also waive it on salary accounts. The penalty varies from bank to bank, and also depends on whether the branch is in a metro, urban, semi-urban or rural area.
How much penalty do banks charge and how do they calculate it?
Banks look at the average balance one maintains in a month. The penalty can vary from ~20 to ~250 a month plus service tax. It is levied in slabs. If the average balance is 75 per cent of the required amount, the penalty is less. If it’s 25 per cent, it would be higher.
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