What if minimum balance is not maintained in HDFC Bank?
HDFC Bank charges a fee to the tune of ₹ 150-600 (excluding taxes) for insufficient balance in regular savings accounts held in its metro, urban and semi-urban branches.
HDFC Bank requires that customers maintain a minimum balance in their savings account if they are to avoid penalty charges. For urban and metro branches, in order to avoid penalty charges, the average monthly balance (AMB) should be Rs. 10,000.
Customers have to maintain a minimum threshold amount in their bank account known as minimum average balance. If this value is not maintained, then banks charge a penalty from their customers.
You will be charged penalty and it keeps adding for not maintaining the minimum balance.
You won't be able to terminate your account online if you have a negative balance. To make the amount zero, you can make an online money transfer into the account. However, you must visit the branch to finish the account closure process and submit the account closure form.
In metropolitan areas, there will be a charge of Rs 100 plus service tax, if the balance falls below 75 per cent of the MAB of Rs 5,000. If the shortfall is 50 per cent or less of the MAB, then the bank will charge Rs 50 plus service tax.
Any Account with zero balance, regardless of status, may automatically be closed by the Bank without notice.
...
- Visit the website of HDFC Bank.
- From 'Products' choose 'Savings Account'
- Choose the BSBDA account and click on the 'Apply Online' button.
- Choose a preferred city when a pop-up opens up.
- Choose if you are a new c.
CIBIL does not keep a track of the number of saving operative accounts and negative balances. So, it has no role in deciding your CIBIL score. However, one should close all its inoperative accounts from their financial perspectives.
If customers fail to maintain this balance, they will have to pay a penalty of up to Rs 75 - every month! Source - PTI. Most banks require their customers to maintain a minimum balance in their account. They charge their account holders for the non-maintenance of minimum average balance (MAB).
How can we avoid minimum balance charges?
You can open a zero balance account by completing the know your customer (KYC) formalities, and the biggest advantage of such accounts is that there is no need to maintain a minimum balance. “Most banks offer a zero balance account where the MAB you need to maintain on both a monthly and a quarterly basis is zero.
| Balance Non-Maintenance Charges* | ||
|---|---|---|
| AMB Slabs (in Rs.) | Metro & Urban | Semi Urban |
| AMB Requirement -Rs 10,000/- | AMB Requirement –Rs. 5,000/- | |
| >=7,500 to < 10,000 | Rs. 150/- | NA |
| >=5,000 to < 7,500 | Rs. 300/- | NA |
According to the HDFC Bank website, for closure of savings account, the Bank customer, depending on the nature and tenure of his account, will have to pay a fee of Rs500 and if the average monthly balance falls below Rs20,000 in non-urban centres, it will charge Rs500 a month.
HDFC Bank, India's second-largest bank, provides the facility of zero balance savings account with which the individuals can avail the basic banking facilities under several restrictions.
As already mentioned, the HDFC Bank Regular Salary Account is a zero balance account. In other words, there is no requirement for a minimum balance. Customers holding this salary account are eligible for the free Personal Accident Cover of Rs. 1 lakh.
| Balance Non-Maintenance Charges* | ||
|---|---|---|
| AMB Slabs (in Rs.) | Metro & Urban | Semi Urban |
| AMB Requirement -Rs 10,000/- | AMB Requirement –Rs. 5,000/- | |
| >=7,500 to < 10,000 | Rs. 150/- | NA |
| >=5,000 to < 7,500 | Rs. 300/- | NA |
For instance, a minimum initial deposit of Rs 7500 for metro/urban branches, Rs 5,000 for semi-urban branches and Rs 2,500 for rural branches is required to open an HDFC Bank Regular Savings Account.
Any Account with zero balance, regardless of status, may automatically be closed by the Bank without notice.
As already mentioned, the HDFC Bank Regular Salary Account is a zero balance account. In other words, there is no requirement for a minimum balance. Customers holding this salary account are eligible for the free Personal Accident Cover of Rs. 1 lakh.
