New Delhi, Jul 28 (ANI): MoS Pankaj Chaudhary speaks in Rajya Sabha during the Monsoon Session of Parliament, in New Delhi on Tuesday. (Sansad TV/ANI Video Grab)
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Between FY23 and FY26, HDFC Bank’s collections from minimum balance penalties exceeded half the combined total generated by 12 public sector banks, Parliament data revealed on Tuesday. HDFC Bank, Axis Bank and ICICI Bank together collected more in minimum balance penalties than all 12 public sector banks combined over the same period.State Bank of India waived-off penal charges for non-maintenance of Minimum Average Balance (MAB) in savings accounts since March 2020, though they continue levying charges for current account. Also, all the banks – public or private do not levy penal charges on Basic Savings Bank Deposit Accounts, including PMJDY Accounts etc.Data, as part of written response by Minister of State in the Finance Ministry, Pankaj Chaudary showed that, all 12 public sector banks together collected around ₹10,230 crore for not maintaining minimum balance in the bank accounts during FY23 and FY26. The private sector bank HDFC Bank alone mopped up over ₹5,600 crore or 55 per cent of total of PSBs. At the same time, collection for HDFC Bank, Axis Bank and ICICI Bank was over ₹11000 crore, higher than total of all PSBs.Chaudhary said that to enhance customer centricity and promote inclusive banking, PSBs have reviewed their service charge structures. Of the 12 PSBs, 10 have discontinued penal charges for non‑maintenance of minimum average balance in savings accounts, while two have rationalised such charges, in accordance with their Board‑approved policies and commercial considerations.“As per the extant RBI instructions, banks may levy charges for non-maintenance of the MAB in accordance with their Board-approved policies, subject to such charges being reasonable, transparent and commensurate with the cost of providing the services,” Chaudhary said.Minimum balanceIn cases of non-maintenance of the agreed minimum balance in bank accounts, banks have been advised by RBI to notify customers through SMS, email, letter or other appropriate means. Customers are generally provided time to restore the required minimum balance before penal charges are applied, he added.Further he explained that banks offer zero-balance savings accounts facility. These accounts are inter alia comprised of basic savings bank deposit accounts (BSBDAs) including the accounts opened under the Pradhan Mantri Jan Dhan Yojana (PMJDY), to ensure universal access to banking facilities, particularly for unbanked, vulnerable, and small depositors and to promote financial inclusion through affordable and accessible banking services.“These accounts do not require maintenance of any minimum balance and provide basic banking services such as deposits, withdrawals and ATM access free of charge, without levy of any penal charges,” he said, while adding that approximately 73 crore BSBDAs, including, PMJDY accounts are not subject to any penal charges for non-maintenance of minimum balance.Published on July 28, 2026
