Last year when India’s largest lender the State Bank of India decided to introduce back the penalty for not maintaining the minimum balance in bank accounts, it created a lot of furore.
Last year when India’s largest lender the State Bank of India decided to introduce back the penalty for not maintaining the minimum balance in bank accounts, it created a lot of furore. A year later, the SBI collected about half of the total amount of penalties collected by 21 Public Sector Banks (PSBs) and three major private banks. The SBI, which suffered a staggering net loss of Rs 6,547 crore during 2017-18, collected Rs 2433.87 crore. Following the SBI were HDFC Bank and Axis Bank, with collected penalties of Rs 590.84 crore and Rs 530.12 crore.
The SBI said that its charges for non-maintenance of Average Monthly Balance (AMB) were one of the lowest in the history. It announced a reduction in its AMB charges by up to 75% from April 1. The SBI does have a lower minimum average balance requirement of Rs 3000 as compared to other banks, in which it can go up to Rs 10,000 in metro cities.
Check full list:
|Bank||Penalty amount (Rs crore)|
|Bank of Baroda||10.94|
|Bank of India||17.35|
|Bank of Maharashtra||19.17|
|Central Bank of India||173.92|
|Indian Overseas Bank||41.95|
|Oriental Bank of Commerce||131.48|
|Punjab & Sind Bank||0.97|
|Punjab National Bank||210.76|
|Union Bank of India||46.11|
|United Bank of India||5.83|