ICICI Bank, India’s second-largest private sector lender, has revised its monthly minimum average balance (MAB) requirements for select customer segments, effective August 1. This change is reportedly part of the bank’s strategy to grow its premium customer base, according to a banker who spoke to NDTV Profit anonymously. For new savings account holders in metro and urban areas, the MAB has been raised significantly from ₹10,000 to ₹50,000. However, this increase will not apply to existing customers, who will continue with the earlier ₹10,000 requirement. In semi-urban areas, new customers will now need to maintain ₹25,000 as the monthly average balance, up from ₹5,000. Rural customers opening new accounts will have to keep a balance of ₹10,000, while existing account holders in these regions will retain the ₹5,000 requirement. Customers who fail to maintain the required balance will face a penalty of 6% of the shortfall or ₹500, whichever is lower. This move contrasts with recent trends, as banks like State Bank of India have removed all minimum balance charges.
