In adherence to Reserve Bank of India (RBI) circular, reference no RBI/2014-15/308 DBR.Dir.BC.No.47/13.03.00/2014-15 dated November 20,2014 on advise of levy of charges for non-maintenance of minimum balance in savings bank account we have formulated the below policy:
- In the event of a default in maintenance of minimum average balance (MAB), the bank will notify the customer by SMS/email/ letter etc. that in the event of the minimum balance not being restored in the account in the subsequent month, penal charges will be applicable.
- In case the minimum balance is not restored in the subsequent month, penal charges shall be recovered under intimation to the account holder.
However, in case the customer has not maintained MAB for any consecutive months, then penal charges shall be applicable for all consecutive months. This fact shall be informed to the customer at the time of giving notice of initial default.
