RBI Minimum Balance Bank New Rule: How Much Balance You Need to Maintain in Your Account

Updated On: September 27, 2025

Banks in India have recently updated their rules related to Minimum Balance Bank New Rule, and this is something every account holder should know. Almost every bank has its own policy regarding the minimum amount of money you must keep in your account. If this balance is not maintained, the bank may charge you a penalty. Recently, SBI and other banks have made changes to these rules, and these changes can directly impact customers. If you have a bank account, it is important to understand how much balance you need to keep to avoid extra charges.

Minimum Balance Bank New Rule in Different Banks

According to the latest Minimum Balance Bank New Rule, the required balance depends on the type of account and the city you live in. For example, if you have an account in ICICI Bank and live in a metro city, you may now need to maintain ₹50,000 in your account. Earlier, the requirement was only ₹10,000. In smaller towns or semi-urban areas, the minimum requirement is ₹5,000. If you fail to maintain this balance, the bank will charge you a penalty.

In the case of Canara Bank and Bank of Baroda, the minimum balance requirement is about ₹1,000. On the other hand, Jan Dhan accounts or accounts in cooperative banks do not have such strict rules for maintaining minimum balance.

SBI and Punjab National Bank have also relaxed their rules. Even if you do not maintain the required minimum balance in these banks, you will not be charged a penalty. This comes as a big relief for customers who find it difficult to keep large amounts in their accounts.

RBI Guidelines on Minimum Balance

The Reserve Bank of India (RBI) has also issued guidelines related to the Minimum Balance Bank New Rule. According to RBI, if you do not maintain the required minimum balance, your account may go into a negative balance. This means that the next time you deposit money, the bank will deduct its pending charges first.

For example, if the penalty amount is ₹1,000 and you did not maintain the required balance, the moment you add money to your account, ₹1,000 will be deducted by the bank as charges. This system is designed to ensure that customers follow the rules set by their banks.

How Much Have Banks Collected from Penalties?

Over the past few years, banks have collected a huge amount of money in the form of penalties from customers who failed to maintain the required balance. Since 2018, both government and private banks together have collected more than ₹3,500 crore from such penalties.

Reports presented in Parliament showed that after 2018, banks collected nearly ₹2,20,000 crore from customers for not maintaining minimum balance. Apart from this, banks also charged customers for exceeding the limit of free ATM transactions, which added up to around ₹8,289 crore. Similarly, charges for SMS alert services added another ₹6,294 crore to the banks’ collections.

Why Account Holders Should Care About the New Rule

The Minimum Balance Bank New Rule is very important for all account holders. Some banks have increased the minimum balance requirement, especially in metro cities, while others have relaxed their rules to support customers. If people are not aware of these changes, they may end up losing their money in the form of penalties.

This makes it necessary for every account holder to stay updated with the rules of their own bank. Whether you have an account in SBI, PNB, Canara Bank, Bank of Baroda, or ICICI Bank, you should check the latest balance requirement. It is also a good idea to keep an eye on how many ATM transactions you make and whether you are being charged for SMS alerts.

In the end, the best way to avoid penalties is to stay informed and maintain the required balance. The Minimum Balance Bank New Rule may be different in every bank, but being aware of it can help you save your money and manage your account better.