‘Sheer loot of citizens’: ICICI Bank’s ₹50,000 minimum balance rule triggers social media outrage

ICICI Bank has sharply raised its minimum average monthly balance requirement for new savings accounts starting August 1, 2025, triggering mixed reactions among customers.

The revised rules mean metro and urban account holders must now maintain a monthly average balance of ₹50,000, up from the earlier ₹10,000. For new semi-urban customers, the minimum balance increases to ₹25,000 (previously ₹5,000), and for rural accounts, it rises to ₹10,000 (from ₹5,000).

The new criteria apply only to accounts opened after August 1, leaving existing customers under the previous limits. Those unable to meet these requirements will face a penalty of 6% of the shortfall, or ₹500–whichever is lower.

This move places ICICI Bank among the most expensive private banks for regular savings accounts, especially as many leading public banks have eliminated minimum balance penalties to boost financial inclusion. Comparatively, HDFC and Axis Bank continue with a minimum balance of ₹10,000 for urban customers.

Many have criticised the hike as discriminatory, with social media users calling it elitist and urging the RBI to intervene. Critics argue that such requirements may create barriers for middle-income and lower-income customers, especially when the new minimum for urban accounts exceeds the average monthly salary in India. Some users threaten to close their ICICI accounts in favour of banks with less stringent policies and accuse the bank of prioritising wealthy customers.

A user wrote, “In a country where 23 crore people live below the poverty line, ICICI thinks ₹50,000 is a ‘minimum’. Masterstroke!”

“This is the largest private sector bank in India. I think its bad times have started now. This is a kind of cheating with the customers. On one hand, the government banks are eliminating the minimum balance penalty while the private sector is increasing it. This is called the disadvantage of privatisation. What you think about it,” another user wrote.

However, a user defended the move, “Why this backlash against ICICI Bank raising their savings account minimum balance? They can choose their customer segment and look to boost fee income. Am sure there was an analysis on average balances to ensure they don’t lose customers. They’re not a govt bank which has a social objective. They are working for their shareholders (with this move).”