HDFC Bank Saving Account Minimum Balance New Rules : HDFC Bank, India’s largest private sector bank, has made a big announcement regarding the rules of maintaining a minimum balance in savings accounts. After ICICI Bank, HDFC Bank has also decided to increase the requirement of maintaining a higher minimum balance for its savings account holders. These new rules officially came into effect from August 2025. If you are an HDFC Bank customer or planning to open a new savings account with the bank, it is very important to understand what exactly has changed and how it will impact your banking experience.
HDFC Bank Savings Account Minimum Balance New Rules
HDFC Bank has revised its minimum balance requirements for new savings account holders. Under the new rule, customers opening a fresh savings account from August 1, 2025, onwards will have to maintain a Monthly Average Balance (MAB) of ₹25,000. Earlier, this limit was fixed at ₹10,000 for urban and metro branches.
This change has directly impacted customers as it increases the financial responsibility of maintaining a higher average monthly balance. If the balance in the savings account falls below the prescribed limit, the bank will impose a penalty. It is worth noting that this rule applies only to new savings accounts opened on or after August 1, 2025. Existing savings accounts will not be affected by this revised rule.
Where and How Much Minimum Balance Will Be Required?
According to the updated policy, customers who open savings accounts in urban and metro branches will now need to maintain a minimum average balance of ₹25,000 every month. If the account balance falls below this threshold, HDFC Bank will levy a penalty.
For semi-urban and rural branches, the minimum balance requirement has not been changed. It will continue to remain the same as before:
- ₹5,000 for semi-urban branches
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₹2,500 for rural branches
This clearly indicates that the new change in rules will primarily affect customers in metropolitan and urban locations who open accounts after the new policy came into effect.
Penalty for Not Maintaining Minimum Balance
The most important part of this announcement is the penalty clause. If customers fail to maintain the required balance of ₹25,000 in their account, HDFC Bank will charge a penalty based on the shortfall. For accounts in metro and urban branches, the penalty will be calculated as either 6% of the shortfall amount or ₹600, whichever is lower.
For example, if a customer maintains only ₹15,000 as their average monthly balance instead of ₹25,000, the shortfall will be ₹10,000. In this case, the penalty will be 6% of the shortfall, i.e., ₹600. Since ₹600 is the maximum limit, this amount will be charged as the penalty.
Previous Rules of HDFC Bank Minimum Balance
Before this revision, HDFC Bank’s minimum balance requirements were more customer-friendly. They were categorized as follows:
- ₹10,000 for metro and urban branches
- ₹5,000 for semi-urban branches
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₹2,500 for rural branches
With the new change, the limit has been raised significantly for metro and urban areas. However, semi-urban and rural branches will continue under the older rules without any modifications.
Minimum Balance Rules for HDFC Bank Classic Account Holders
HDFC Bank also has separate criteria for its Classic banking customers, who belong to the premium category. For these account holders, the requirements are higher and more specific. They need to either:
- Maintain an Average Monthly Balance (AMB) of ₹1,00,000 in their savings account, OR
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Maintain an Average Quarterly Balance (AQB) of ₹2,00,000 in their current account.
For salaried customers under corporate salary accounts, the rule is slightly different. They need to ensure that a monthly net salary credit of at least ₹1,00,000 or more is deposited into their HDFC Bank salary account. This provision ensures that premium customers are aligned with higher value banking.
Comparison with Public Sector Banks
The new rules by HDFC Bank and earlier by ICICI Bank come at a time when several public sector banks have been moving in the opposite direction. Banks like Canara Bank and Punjab National Bank (PNB) have already abolished the requirement of maintaining a minimum balance for their regular savings account holders. This means that customers of these public sector banks do not need to worry about maintaining a specific amount in their savings account or paying a penalty for falling short
In contrast, private sector banks such as HDFC and ICICI are tightening their policies by increasing the minimum balance requirement and imposing stricter penalties. This reflects a clear distinction in the approach of public and private sector banks in India.
Why This Change Matters
The increase in minimum balance requirement can have a significant impact on ordinary customers, especially those in urban areas who may not be able to keep such a high amount in their accounts consistently. For small business owners, students, or individuals with limited income, maintaining a balance of ₹25,000 may be difficult. On the other hand, from the bank’s perspective, this move ensures that a larger deposit base is maintained, which can help in managing liquidity and funding requirements.
Final Thoughts
HDFC Bank’s new rule for savings account holders in metro and urban areas marks a substantial shift in banking requirements. New customers opening an account after August 1, 2025, will now need to maintain a monthly average balance of ₹25,000, failing which a penalty will be imposed. While the rules for semi-urban and rural branches remain unchanged, this change places an additional financial burden on customers in cities.
At the same time, the contrast between private and public sector banks is becoming more evident, as public banks are reducing restrictions while private banks are increasing them. If you are planning to open a savings account in HDFC Bank, it is crucial to carefully assess whether you can maintain the required balance to avoid unnecessary penalties.