Business banking fees in India, what current accounts cost and how to compare

Snapshot

Business account fees in India are built around a minimum average balance at most traditional banks rather than a flat monthly fee, with a penalty if the balance falls short. Per transaction, cash handling and card charges are added separately, and Goods and Services Tax applies to most charges. Some fintech platforms advertise no minimum balance.

Main cost driver: Minimum average balance at traditional banks, which varies widely by bank and account variant, as of 5 May 2026.
No minimum balance option: Yes with some platforms. RazorpayX advertises a current account with no minimum balance as of 5 May 2026.
Payout cost example: RazorpayX payouts commonly about INR 2 to INR 5 each depending on rail and volume, as of 5 May 2026. UPI is generally free for the payer.
Providers compared: 10 or more current accounts across banks and platforms

Fees and features as of 5 May 2026Last reviewed 5 May 2026

General information, not financial, legal, or tax advice. Verify current terms and eligibility with the provider before applying.

Unlike many European markets, the main cost of a business current account in India is usually the minimum average balance the bank asks you to keep, not a flat monthly fee. Banks charge a non maintenance penalty if the balance falls short, then add per transaction charges, cash handling fees and card fees, with Goods and Services Tax on top. Fintech platforms such as RazorpayX advertise no minimum balance and price payouts per transaction, commonly about INR 2 to INR 5 each. The reliable way to compare is to read each provider schedule of charges as of the date you apply. Figures below are shown as of 5 May 2026.

What business accounts cost in India

An Indian current account fee usually has several parts: a minimum average balance requirement, a non maintenance penalty when the balance falls below it, per transaction charges for transfers and payouts, cash deposit and withdrawal fees beyond a free limit, card fees, and currency conversion costs on foreign payments. Goods and Services Tax is added to most charges. Traditional banks lead with a minimum balance and bundle a set of free transactions, then charge for extras. Fintech platforms advertise no minimum balance and price per payout. Comparing only one number can mislead, so add the items your business actually uses. As of 5 May 2026.

Minimum balance and monthly cost

Most traditional bank current accounts set a minimum average balance that varies widely by bank and account variant, from lower balance variants aimed at small businesses to higher variants for larger firms. If the balance falls below the requirement, the bank charges a non maintenance penalty. Fintech platforms such as RazorpayX advertise a current account with no minimum balance as of 5 May 2026, and some banks offer zero balance variants for specific segments. Confirm the current requirement with the provider before opening.

Transaction, cash and currency charges

Beyond the balance requirement, watch the per item charges. UPI payments are generally free for the payer, while NEFT, RTGS and IMPS transfers and bulk payouts may carry a small fee. As an example, RazorpayX payouts are commonly about INR 2 to INR 5 each depending on the rail and volume, as of 5 May 2026. Cash deposits and withdrawals are usually free up to a limit, then charged. Foreign currency payments add a conversion cost, which multi currency providers such as Wise Business price close to the mid market rate for eligible businesses. Read each schedule of charges for the current figures, since Goods and Services Tax is added.

Fees to check before you open

Look at these items before you commit, because the lowest headline is not always the cheapest overall. Verify with the provider

The minimum average balance and the non maintenance penalty, since this is the main cost at most traditional banks and varies by bank and account variant, as of 5 May 2026.
Transfer and payout charges by rail, and any free transaction allowance. RazorpayX advertises no minimum balance with payouts about INR 2 to INR 5 each, as of 5 May 2026, while UPI is generally free for the payer.
Cash deposit and withdrawal limits and charges, card fees, currency conversion costs, and Goods and Services Tax on charges. Verify current figures with the provider.

How to compare fees

List the transactions your business makes in a typical month: transfers and payouts by rail, card payments, cash, and any foreign currency. This is the basis for a fair comparison.
Read each provider schedule of charges and total the minimum balance cost plus the per item charges for your usage, remembering that Goods and Services Tax is added.
Check the cost of the items you use most, such as payouts, cash handling or foreign payments, since these often outweigh the headline. Confirm the current schedule with the provider before opening.

Compare business accounts available in India

These providers accept business customers in India. Fees and eligibility shown as of 5 May 2026. Confirm current terms with the provider before applying.

Compare business accounts →

Questions about business banking in India

How are business account fees structured in India?

Most traditional bank current accounts in India set a minimum average balance rather than a flat monthly fee, and charge a penalty when the balance falls short. On top of that come per transaction charges, cash handling fees and charges for extra services. Goods and Services Tax is added to most bank charges. Verify current figures with the provider. As of 5 May 2026.

Is there a business account in India with no minimum balance?

Yes. Some fintech platforms advertise a current account with no minimum balance through a partner bank. RazorpayX advertises a current account with no minimum balance as of 5 May 2026, with payouts priced per transaction. Traditional banks also offer some zero balance variants for specific segments. Confirm the current terms with the provider.

What does a payout or transfer cost in India?

It varies by rail and provider. UPI payments are generally free for the payer, while bank transfers and bulk payouts may carry a small per transaction fee. As an example, RazorpayX payouts are commonly priced at about INR 2 to INR 5 per payout depending on the rail and volume, as of 5 May 2026. Confirm pricing with the provider.

Are there hidden fees on Indian current accounts?

The headline rarely tells the whole story. Watch for non maintenance penalties when the balance falls below the minimum, cash deposit limits and charges, NEFT, RTGS and IMPS fees, card fees and currency conversion costs on foreign payments, plus Goods and Services Tax on charges. Add the items you use to compare fairly. Verify with the provider.

Fees, features, and eligibility change and vary by region. This page was last reviewed on 5 May 2026. Confirm current terms with the provider before applying.