Minimum Balance Charges penalty is the major source of income for the banks including Public Sector as well as Private Sector. 24 Banks in India has collected Rs 5000 crore as Minimum Balance Charges in the fiscal 2017-18 altogether.
Calculate – Bank’s Monthly Average Balance Calculator (MAB)
Largest lender State Bank of India (SBI) accounted for nearly half the amount collected as minimum balance penalty in 2017-18. The list of other banks included in this are
HDFC Bank has charged its customers ₹ 590.84 crore, which is lower than ₹ 619.39 crore in 2016-17.
Axis Bank collected ₹ 530.12 crore .
ICICI Bank charged ₹ 317.6 crore.
As per Reserve Bank of India (RBI), banks are permitted to levy service/miscellaneous charges including Minimum Balance Charges. Customers opening accounts under Basic Savings Bank Deposit (BSBD) scheme as well as Pradhan Mantri Jan Dhan Yojna or any other accounts as prescribed by individual banks are not required to maintain any minimum balance.