The Bank Of Baroda QAB And MAB

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Bank of Baroda (BOB) is a leading public sector bank in India with a wide network of branches and ATMs across the country.

Like many other banks, BOB has certain account maintenance requirements, including maintaining a Quarterly Average Balance (QAB) and a Minimum Average Balance (MAB).

Understanding these terms is essential for managing your BOB account effectively.

What is QAB in Bank Of Baroda?

QAB stands for Quarterly Average Balance. It is the average balance you must maintain in your savings account over a specific quarter, typically three months.

This average is calculated by adding up the closing balances of your account for each day of the quarter and dividing the total by the number of days in the quarter.

What is MAB in Bank Of Baroda?

MAB stands for Minimum Average Balance. It is the minimum balance you must maintain in your savings account throughout the year.

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This balance is typically lower than the QAB and is often required for certain types of savings accounts, such as the Baroda Advantage Savings Account.

What is the difference between QAB and MAB?

QAB and MAB are similar in that they both require account holders to maintain a minimum balance in their accounts. However, there are some key differences between the two:

  • QAB is calculated on a quarterly basis, while MAB is calculated on a monthly basis. This means that QAB is a more flexible requirement, as account holders can have a lower balance in some months of the quarter as long as they maintain the overall average.
  • QAB is typically a requirement for savings accounts, while MAB is typically a requirement for current accounts. This is because current accounts are typically used for more frequent transactions, so the bank wants to ensure that account holders have a sufficient balance to avoid overdrafts.

QAB and MAB requirements for different types of BOB accounts

The QAB and MAB requirements vary depending on the type of BOB savings account:

  • Baroda Savings Account:
    • Rural branches: Rs. 500 QAB
    • Semi-urban branches: Rs. 1,000 QAB
    • Urban/Metro branches: Rs. 2,000 QAB
  • Baroda Junior Savings Account:
    • All branches: Rs. 250 QAB
  • Baroda Advantage Savings Account:
    • Rural branches: Rs. 500 QAB
    • Semi-urban branches: Rs. 1,000 QAB
    • Urban/Metro branches: Rs. 2,000 QAB
  • Baroda Current Account:
    • All branches: Rs. 5,000 MAB

What if I don’t maintain the minimum QAB or MAB?

If you fail to maintain the minimum QAB or MAB in your account, you will be charged a penalty fee.

The penalty fee amount varies depending on the account type and the branch location.

For instance, in urban/metro branches, the penalty fee for not maintaining the QAB in a Baroda Advantage Savings Account is Rs. 100 per month.

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