Mumbai, August 13: ICICI Bank has rolled back its recent hike in minimum balance requirement for new savings accounts, following widespread outrage. The bank had earlier raised the Minimum Account Balance (MAB) to INR 50,000 for accounts opened from August 1, sparking outrage among customers and triggering a flood of complaints on social media.

In response to the backlash, the bank on Wednesday revised the MAB, lowering it to INR 15,000. The move comes as a relief to new account holders, many of whom had expressed concern over the sudden and steep increase, calling it unaffordable and unfair. ICICI Bank Hikes Minimum Balance for Savings Accounts in Metros and Urban Areas to INR 50,000, Highest Among Indian Banks; New Rule Effective From August 1.

ICICI Bank Minimum Balance New Rule

According to the updated information on ICICI Bank’s website, customers holding savings accounts in metro and urban branches must now maintain a minimum monthly balance of INR 15,000 to avoid penalties, the same amount that was in place before the controversial hike.

Furthermore, for the semi-urban locations, the MAB has been set to INR 7,500, and for rural locations, the MAB has been fixed at INR 2,500. In case the MAB is not maintained, the bank will deduct 6% of the shortfall amount or INR 500, whichever is lower. Apart from this, the bank said those opening a pension or student savings account will not be bound by these MABs, and subsequent penalties. ICICI Bank Minimum Balance Hiked: RBI Governor Sanjay Malhotra Says Banks Free to Decide on Minimum Account Balance Limit for Saving Accounts (Watch Video).

RBI Governor Sanjay Malhotra said banks are free to decide the minimum balance for savings accounts and that it does not fall under the regulatory domain of the central bank. Asked about a private bank increasing the minimum balance required for savings accounts, Malhotra said, "The RBI has left it to individual banks to decide on what minimum balance they want to set. Some banks have kept it at INR 10,000, some have kept INR 2,000, and some have exempted (customers). It is not in the regulatory domain (of RBI)."

(The above story first appeared on LatestLY on Aug 13, 2025 09:21 PM IST. For more news and updates on politics, world, sports, entertainment and lifestyle, log on to our website latestly.com).