What is available balance? A simple guide on how to check it.

With the rapid increase in users of digital banking applications today, you've probably heard the terms "available balance" and "current balance" when making transactions. So what is an available balance, and what is the difference between these two types of balances? Let's find out in detail with MSB in the article below!

1. What is available balance?

What is an available balance? It's the amount of money in an account that a customer can use for transactions such as transferring money, withdrawing money, or paying bills . Typically, the available balance is equal to or less than the actual balance. For example, if your account has 10,000,000 VND, but the bank requires a minimum balance of 50,000 VND, then the available balance will be 9,950,000 VND – this is the maximum amount you can use.

2. Differentiate between account balance and available balance.

Account balances and available balances are determined based on the regulations of each bank. This means that the amount of money available for account holders to use will vary depending on the bank where the account is opened. The available balance also depends on the minimum balance that the bank requires to be maintained in the account. This is the amount of money that customers must deposit when opening an account and maintain throughout the account's usage. For example, customer A has an account balance of VND 100,000,000 and a debit balance of VND 50,000,000, while the bank requires a minimum balance of VND 50,000. Therefore, the available balance will be calculated as follows: Available balance = Account balance (VND 100,000,000) - Minimum balance (VND 50,000) - Debit balance (VND 50,000,000) = VND 49,500,000.

What is the difference between available balance and account balance?

3. Why is available balance important?

Your available balance is crucial because it shows the amount of money you can use immediately after deducting any pending transactions. This offers several advantages:

• It helps you know exactly how much money is available to spend or withdraw without worrying about overdrafts or penalty fees for exceeding your balance.
• It allows you to better control your finances by knowing exactly how much money you can spend, avoiding overspending.
• Ensure that payment or transfer transactions proceed smoothly without being rejected due to insufficient funds.

See also: [Frequently Asked Questions] Can I get my money back if I transfer it by mistake ?

4. How to check your available balance

Here are some ways to check your account balance:

4.1 Check your available balance via Internet Banking/Mobile Banking.

You can easily check your account balance on your mobile phone using the following two login methods:

Method 1: Using the MSB mBank app:

Step 1 : Download the MSB mBank app.

• For iPhone: Download from the App Store .
• For Android phones: Download from Google Play .

Step 2 : Install and open the application.

• Enter the username and password you registered with the bank.

Step 3 : Check your account balance.

• Your balance information will be displayed directly on the main screen after you log in.
• To view transaction details, select "Account".

Method 2: Check your balance via the official website:

Step 1 : Access the MSB website at https://www.msb.com.vn . Step 2 : Log in to your Internet Banking account: Click on “ Log in ” in the upper right corner of the screen and enter your account information. Step 3 : Check your balance.

• After logging in, your account balance will be displayed on the main interface.
• You can view your transaction history by selecting "Account".

The MSB mBank app allows you to check your account balance.

4.2 Check your available balance at the ATM.

In addition to checking your balance online, you can also easily check it at ATMs nationwide. Here are the detailed steps: Step 1 : Insert your card into the ATM slot. Enter your PIN to log in. Step 2 : On the ATM screen, select "Account Statement" or "Check Balance" . Step 3 : View your account balance information displayed on the screen. Step 4 : After checking, select "Exit Transaction" and retrieve your card from the machine.

4.3 Check your available balance at the bank teller.

Customers can also visit any MSB branch nationwide to check their balance. Please bring your original Citizen Identification Card/National Identity Card for account verification. The teller will assist you in checking your current account balance.

4.4 Check your available balance via the call center.

In addition to the three methods above, you can call MSB's customer service hotline at 19006083 to request a quick account balance check from a staff member.

Go to the bank teller to check your available balance.

5. How do I calculate my available balance?

You can calculate your available account balance using the following formula: Available balance = Account balance + Overdraft limit (if any) - Blocked amount - Minimum balance required to maintain the account. Where:

• Account balance : This is the amount of money currently available in your bank account.
• Overdraft limit : This is the amount of money that can be used when the account balance is zero. This is the amount of money the bank lends under the overdraft agreement.
• Frozen funds : This is the amount of money that the bank holds in your account and you cannot access it for certain reasons.
• Minimum account maintenance balance : This is the minimum amount of money you need to maintain in your account to keep it open. This amount may vary depending on the regulations of each bank.

Contact MSB for more information about your available balance.

6. Frequently Asked Questions

6.1 Can customers withdraw their entire available balance?

If a customer is still using their card, they cannot withdraw the entire account balance unless the available balance equals the account balance. If the account balance is zero and the customer does not make any transactions within the specified period, the bank will automatically lock the account. Furthermore, if a customer has no outstanding debt and wishes to close their bank account and card, they can withdraw the entire account balance. This means the customer will no longer be able to perform transactions such as cash withdrawals, transfers, or bill payments at the bank.

6.2 Is it a problem if the available balance is negative?

A negative available balance occurs when the amount frozen is greater than or equal to the total account balance plus any overdraft limit (if applicable), minus the minimum balance. Possible causes include:

• The account holder requests the bank to freeze the funds or temporarily close the account.
• The bank discovers an error or mistake when a customer makes a transaction, or when a payment service provider requests a refund.
• The account shows signs of fraud or violation of the law.
• The bank received notification from one of the account holders regarding a dispute related to the joint account.
• The bank receives a request to temporarily freeze the account from competent authorities such as the Tax Department, the Court, or the Prosecutor's Office.

When encountering a situation where the available balance is negative, customers should not worry too much, as the frozen funds are secured and strictly controlled by the bank. In this case, the account holder should quickly contact the bank to find out the cause and receive guidance on how to resolve the issue appropriately.

6.3 How can I increase my available balance?

Credit card limits can be increased in two ways: automatically or proactively. To ensure a successful increase, please note the following points:

• Consistent card usage : Banks typically review credit limit increases after you've used your credit card for 6 months to 1 year. This timeframe allows the bank sufficient data to assess your spending habits and credit score more clearly.
• Proof of income : Income is a crucial factor in determining your ability to repay a loan. You should provide accurate and reliable income documentation to support your credit limit increase request.
• Building trust : Banks value customers who have a history of timely repayment, good spending control, and using their cards for their intended purpose. Maintaining a good financial reputation will increase your chances of getting approved for a credit limit increase.

With the above information, MSB hopes you now understand what available balance is. Knowing your current available balance allows you to manage your personal finances effectively and create reasonable spending plans. At the same time, please pay close attention to the security of your information when using bank cards or Internet Banking services to avoid unwanted risks. Source: https://www.msb.com.vn/vi/w/so-du-kha-dung-la-gi