minimum balance

USAGE SUMMARY

The phrase "minimum balance" is correct and usable in written English.
It is typically used in financial contexts to refer to the lowest amount of money that must be maintained in an account. Example: "To avoid monthly fees, you must maintain a minimum balance of $500 in your savings account."

✓ Grammatically correct

News & Media

Academia

Human-verified examples from authoritative sources

Exact Expressions

60 human-written examples

Minimum balance is £500.

The Guardian - Money

They don't need to keep a minimum balance in either.

The New York Times

"Minimum balance," he said in English — around sixteen dollars.

The New Yorker

The minimum balance is £1, the maximum £30,000.

The Guardian - Money

In 2005, the government started pushing "no-frills" accounts that required no minimum balance.

The New Yorker

I'd glance at the line that read "minimum balance due" and fill out the check.

The New York Times - Magazine

All minimum balance requirements that affect fees, charges, and penalties, including a clear description of how each such minimum balance is calculated.

Cornell University

The required minimum balance is $749 in Latino neighborhoods and drops to $626 in white neighborhoods.

The Washington Post

Or they may raise the minimum balance requirements that some banks already have.

The New York Times

Then, there's the money to be made from that $5,000 minimum balance.

The New York Times

Arkansas, where I live, pretty much tracks the national median, except for the minimum balance requirement.

The New York Times

Expert writing Tips

Best practice

When discussing financial products, clearly state the "minimum balance" required to avoid fees or earn interest to ensure transparency for the reader.

Common error

Avoid using "minimum balance" when you mean the smallest amount due on a credit card bill, which is the "minimum payment". "Minimum balance" refers to the amount you must keep in an account.

Linguistic Context

The phrase "minimum balance" functions primarily as a noun phrase, often acting as the subject or object of a sentence. Ludwig AI confirms that it specifies the least amount of money required to be maintained in an account to avoid fees or qualify for certain benefits. The phrase is commonly used in financial contexts.

Expression frequency: Very common

Frequent in

News & Media

60%

Academia

20%

Formal & Business

10%

Less common in

Science

5%

Encyclopedias

3%

Wiki

2%

Ludwig's WRAP-UP

In summary, the phrase "minimum balance" is a very common and grammatically correct noun phrase primarily used in financial contexts. It refers to the least amount of money needed to maintain an account, often to avoid fees or gain interest. Ludwig AI confirms its widespread use in News & Media and Academic sources. When writing about finance, it's crucial to distinguish "minimum balance" from related terms like "minimum payment". To provide clarity, specify the calculation method and potential consequences of falling below the required amount. Alternatives include phrases like "required balance" or "minimum funds", which can be useful for diversifying your language.

More alternative expressions

Phrases that express similar concepts, ordered by semantic similarity:

required balance

Emphasizes the obligatory nature of the balance, focusing on the requirement.

minimum funds

Substitutes "balance" with "funds", highlighting the financial aspect.

threshold balance

Implies a limit that must be met, framing the balance as a threshold to maintain.

minimum deposit requirement

Focuses on the initial amount needed, specifying it as a requirement.

lowest permissible balance

Highlights the lowest acceptable amount, framing it in terms of permission.

essential balance

Emphasizes the necessity of maintaining a certain amount, focusing on its importance.

mandated balance

Highlights that the balance is enforced or ordered.

stipulated balance

Indicates the balance is a condition or term.

agreed-upon balance

Refers to a balance amount that has been mutually decided.

base balance

Highlights the balance as a base amount.

FAQs

How is the "minimum balance" calculated?

The "minimum balance" can be calculated in various ways depending on the financial institution. It can be the lowest amount in the account at any point during the month, the average daily balance, or another method. Always check the specific terms and conditions of your account.

What happens if my account balance drops below the "minimum balance"?

If your account balance falls below the "minimum balance", you may incur fees, lose interest, or face other penalties. Some accounts may offer a grace period to deposit additional funds before these penalties are applied.

Are there accounts with no "minimum balance" requirements?

Yes, many financial institutions offer accounts with no "minimum balance" requirements. These accounts may have other conditions, such as limitations on transactions or different fee structures. Look for terms like “no-fee checking” or “basic savings”.

What are some alternatives to keeping a "minimum balance" to avoid fees?

Instead of maintaining a "minimum balance", some banks offer options such as setting up direct deposit, using the debit card a certain number of times per month, or enrolling in electronic statements. These alternatives can help you waive monthly fees without needing to maintain a specific balance.