New Delhi [India], August 9 : ICICI Bank has significantly increased the minimum average balance requirement for its savings accounts across all branch categories, with the new rules effective from August 1, 2025.
For customers in metro and urban areas, the minimum average balance has been raised to Rs 50,000, up from the earlier Rs 10,000. In semi-urban branches, the new requirement is Rs 25,000, compared to Rs 5,000 previously. For rural branches, the minimum balance has increased to Rs 10,000 from Rs 2,500.
The steep hike is expected to impact a large number of account holders, especially those in rural and semi-urban areas. Customers who fail to maintain the required average balance may face penalty charges, which could add financial strain for low-income account holders.
This move could prompt consumers to reconsider their banking choices, potentially shifting to banks with lower minimum balance requirements or opting for basic savings accounts that do not mandate such thresholds. For others, it may require careful financial planning to avoid penalties.

According to the bank, customers who fail to maintain the required minimum monthly average balance (MAB) will be charged 6 per cent of the shortfall or Rs 500, whichever is lower.
However, these charges will be waived if the customer meets the enrolled program criteria.
In the case of Family Banking, the family must collectively maintain 1.5 times the program's eligibility criteria; otherwise, non-maintenance charges will apply individually to members who do not meet their own MAB requirement. Pensioners are exempt from these charges.
Additionally, for ECS/NACH debit returns due to financial reasons, the bank will charge Rs 500 per instance, with a cap of three charges per month for the same mandate.
For outward cheque returns (cheques deposited by the customer), a fee of Rs 200 per instance will be charged if returned for financial reasons. Inward cheque returns (cheques issued by the customer) will incur a charge of Rs 500 per instance for financial reasons and Rs 50 for non-financial reasons, excluding signature verification. Additionally, if a transaction at another bank's ATM or at a point of sale (POS) terminal is declined due to insufficient balance, a fee of Rs 25 per instance will be charged.