State Bank of India (SBI) has realised Rs 235.06 crore as penalty from 388.74 lakh accounts for not maintaining monthly minimum average balance in the first quarter of the current fiscal, an RTI query has revealed.
“An amount of Rs 235.06 crore has been realised from our 388.74 lakh accounts which did not maintain monthly minimum average balance in the first quarter ended June 30,” SBI said in its reply to an application filed by Neemuch-based RTI activist Chandrashekhar Gaud.
This information was furnished by a Mumbai-based Deputy General Manager rank officer of the bank’s operations department, he said.
However, the country’s top bank has not revealed the categories of accounts on which the fine has been levied for non-compliance with its minimum balance requirements, the activist said.
Gaud appealed to the state-run lender to review its policy of levying penalty for non-compliance with its minimum balance requirements in the interest of the poor account holders.
How Monthly Average Balance is calculated ?
Here’s how to calculate the monthly average balance for saving bank account :
Suppose, a bank asks to maintain ₹1,000 as monthly minimum average balance (MAB).
Let’s say how MAB will be calculated for October.
- On 1st October, the balance in the account is ₹ 900
- On 10th October, withdrawal of ₹ 800 take place
- On 20th October, deposit of ₹ 5000 takes place
From 1st October to 10th October i.e, 9 days, total balance will be ₹ (900*9) = ₹ 8,100
From 10th October to 20th October, total balance will be ₹ (100*10) = ₹ 1,000
From 20th October to 31st October, total balance will be ₹ (5100*11) = ₹ 56,100
Total Balance = 8,100+1,000+56,100= ₹ 65,200
Monthly Average Balance = (65,200/31) = 2,103. Which is above the required minimum average balance limit and hence no penalty will be levied.