From ICICI Bank, HDFC to SBI… How Much Minimum Balance Is Required?

In India, different banks require different minimum balance amounts in savings accounts especially ICICI Bank, HDFC Bank, and SBI (State Bank of India). Let’s break it down clearly and simply so you know what you need to maintain (or not)!

1. ICICI Bank – Rising steeply for new customers

• From ICICI Bank, HDFC to SBI… How Much Minimum Balance Is Required? For new savings accounts opened on or after August 1, 2025:
  
  • Metro & urban branches: ₹50,000 average monthly balance
    
  • Semi-urban branches: ₹25,000
    
  • Rural branches: ₹10,000
    
• From ICICI Bank, HDFC to SBI… How Much Minimum Balance Is Required? Old customers (existing before August 1):
  
  • Metro/urban: ₹10,000 (old standard)
    
  • Semi-urban & rural: ₹5,000 (old standard) 
• Penalty for not maintaining required balance:
  
  • 6% of the shortfall or ₹500—whichever is lower

ICICI’s new requirement is a big jump—up to five times the old amount.

2. HDFC Bank – Moderate, tiered by branch type

HDFC maintains different minimums depending on the branch:

• Urban/Metro branches:
  
  • Maintain ₹10,000 average monthly balance, or
    
  • Keep a fixed deposit (FD) of ₹1 lakh for 1 year + 1 day 
• Semi-urban branches:
  
  • ₹5,000 MAB or FD ₹50,000 (1 year + 1 day
    
• Rural branches:
  
  • ₹2,500 average quarterly balance or FD ₹25,000 (1 year + 1 day) Penalty for non-maintenance:
    
  • 6% of shortfall or ₹600 (urban)
    
  • ₹300 (semi-urban/rural)—whichever is lower

3. SBI – No minimum balance required

• SBI has completely waived off minimum balance requirements for savings accounts—urban, rural, or otherwise.
  
• No penalties, and full access to banking services, even if zero balance. 

This makes SBI the most inclusive and low-cost option for those who prefer no strings attached.

4. Why differences? Understanding the context

• Regulation: The Reserve Bank of India allows banks to set their own minimum balance rules. Some banks use these to generate revenue or encourage larger deposits, while public sector banks often prioritize accessibility. 
• Public vs Private Banks: Government banks like SBI, Canara Bank, and PNB have moved to remove penalties to promote financial inclusion. Many private banks like ICICI still enforce or raise fees. 5. Quick comparison table

Bank	Branch Type	Minimum Balance Required	Penalty (if not maintained)
ICICI	Metro/Urban	₹50,000 (new accounts)	6% or ₹500
	Semi-Urban	₹25,000	—
	Rural	₹10,000	—
	Old accounts	₹10k urban; ₹5k semi/rural	—
HDFC	Urban	₹10,000 or FD ₹1L	6% or ₹600
	Semi-Urban	₹5,000 or FD ₹50k	6% or ₹300
	Rural	₹2,500 (quarterly) or FD ₹25k	—
SBI	All	No minimum balance	No penalty

Final Thoughts

• If you want no hassle, zero minimums, and no penalties—go with SBI. It’s straightforward and customer-friendly.
  
• If you like private banks and digital services:
  
  • HDFC is moderate—₹10,000 in cities, with FD as an alternative.
    
  • ICICI has now set very high MAB for new accounts—₹50,000 in urban areas. Only choose it if you’re comfortable maintaining that much, or if you’re an existing customer happy with the old ₹10,000 threshold.
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