How is Average Quarterly Balance (AQB) calculated

Average Quarterly Balance (AQB) is the average balance to be maintained in the account over a period of a quarter.

It is the sum of the end of day balance in the account for each day in the quarter, divided by the number of days in the quarter.


Say if your account is subjected to maintain an AQB of Rs. 10,000 /-, that means the

EOD balance x Number of Days

AQB = 10,000 = ————————————————

Number of days in Quarter

Let’s assume the number of days in Quarter are 90 (30days for 3 months),

Also, assume you maintained same EOD balance through out the quarter, thus your AQB becomes

AQB = 10,000 = EOD balance constantly maintained through out the quarter

so, you at least need to maintain a minimum of Rs. 10,000 at any time during the quarter.

Say, withdraw all of your money and left your account in zero balance for 10 days, you can still avoid your AQB charges by maintaining balance that is worth of 10,000 x 10 = 1,00,000 for at least one day within the quarter.

A more detailed calculation example is below:

Sample statement to illustrate example
Sr. No. Date Narrarion Withdrawal Deposit Closing balance
1 1-Jan-07 Credit interest capilized   50 4,000
2 10-Jan-07 ECS Credit-PKT   10,000 14,000
3 16-Jan-07 Cash Withdrawal 2,000   12,000
4 25-Jan-07 Cheque Deposit- MICR clearing   13,000 25,000
5 5-Feb-07 Broadway automobile POS 43860000000012 1,000   24,000
6 19-Feb-07 Cash Deposit Mumbai   9,000 33,000
7 26-Feb-07 Funds Transfer 29,000   4,000
8 2-Mar-07 Cheque paid-MICR inward clearing 1,500   2,500
9 15-Mar-07 Cheque Deposit- MICR clearing   25,000 27,500
10 31-Mar-07 Cash Withdrawal 2,000   25,500
AQB Calculation
Sr. No. Time Period Calculation Amount(Rs)
1 EOD Balance from 01-Jan-07 to 9-Jan-07 4,000 x 9 36,000
2 EOD Balance from 10-Jan-07 to 15-Jan-07 14,000 x 6 84,000
3 EOD Balance from 16-Jan-07 to 24-Jan-07 12,000 x 9 1,08,000
4 EOD Balance from 25-Jan-07 to 04-Feb-07 25,000 x 11 2,75,000
5 EOD Balance from 05-Feb-07 to 18-Feb-07 24,000 x 14 3,36,000
6 EOD Balance from 19-Feb-07 to 25-Feb-07 33,000 x 7 2,31,000
7 EOD Balance from 26-Feb-07 to 01-Mar-07 4,000 x 4 16,000
8 EOD Balance from 02-Mar-07 to 14-Mar-07 2,500 x 13 32,500
9 EOD Balance from 15-Mar-07 to 30-Mar-07 27,500 x 16 4,40,000
10 EOD Balance on 31-Mar-07 25,500 x 1 25,500
  Total EOD balances for the quarter Jan-Mar-07   15,84,000
  Divide by the no. of days in the quarter   90
  Average Quarterly Balance (AQB)   17,600


Average Quarterly Balance (AQB) Excel Calculator.


7 thoughts on “How is Average Quarterly Balance (AQB) calculated

  1. how is the average quarterly balance calculated when an customer opens an account in the middle of quarter? is the quarterly balance calculated for that quarter? if yes what is the number of days being considered?

  2. I open an accuunt in the middel of the first quarter and my ccount activate after 35 days then bank charged QAB. so what i can this position.

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