ICICI Bank has announced a significant change in its savings account policy, increasing the minimum balance requirement in metropolitan and urban areas from ₹10,000 to ₹50,000. The revision will apply to standard savings accounts, excluding specific segments such as salary accounts, basic savings accounts, and certain privileged banking categories.
ICICI Bank has announced a significant change in its savings account policy
Private sector lender ICICI Bank has announced a significant change in its savings account policy, increasing the minimum average monthly balance (MAB) requirement for customers in metro and urban branches from ₹10,000 to ₹50,000.
ICICI Bank Raises Minimum Savings Account Balance in Metros and Urban Areas to ₹50,000
The bank said the revision will come into effect soon, impacting a large number of account holders in major cities. Customers failing to maintain the new minimum balance will face higher non-maintenance charges.
According to ICICI Bank, the move is aimed at “aligning banking services with evolving customer needs” and maintaining competitive offerings in the premium banking segment. The bank has also highlighted that customers can avoid penalties by opting for alternative account types with lower balance requirements, such as basic savings accounts or digital-only accounts.
Financial experts believe the steep hike could encourage customers to either upgrade to higher-value accounts with added benefits or shift to banks offering lower balance requirements. Critics, however, argue that the change might burden middle-income customers in urban areas, especially those using accounts for personal savings rather than large transactions.
Industry watchers note that ICICI Bank’s decision could prompt other private lenders to review their minimum balance norms, potentially reshaping competitive dynamics in the retail banking sector.
