Savings Account Interest Rate up to 7.25%: SBI, HDFC Bank, ICICI Bank, PNB, Union Bank, IDFC FIRST Bank

Typically, the savings account interest rate is fixed and is credited quarterly. The interest rate is determined based on the daily balance, which is the sum of all deposits minus withdrawals made throughout the day. Compared to fixed deposits, a savings account generally does not have a maturity period as this type of account is for regular savings and liquidity. You can deposit and withdraw funds at any time without incurring any penalties or fees.

What are the factors that affect the savings account interest rate?

According to the ICICI Bank website, “There are several factors that affect the interest rate of the Savings Account, such as the monetary policy established by the Central Bank, inflation and prevailing market conditions. Other factors, such as the Bank’s financial performance and business strategy, may also influence the determination of the interest rate.

Kotak Mahindra Bank has reduced the interest rate on savings accounts with less than Rs 5 lakh by 50 basis points. We can now examine the savings account interest rates offered by other major banks to their customers.Kotak Mahindra Bank cuts savings account interest rate by 50 basis points: Check details

State Bank of India Savings Account Interest Rate

The interest rate for savings accounts with balances up to Rs 10 million is 2.70% and 3% for balances above Rs 10 million. Rates take effect from October 15, 2022.

HDFC Bank Savings Account Interest Rate

The interest rate on savings accounts at HDFC Bank is 3% for balances below Rs 50 lakh and 3.50% for balances above Rs 50 lakh. Rates take effect from April 6, 2022.

ICICI Bank Savings Account Interest Rate

For end-of-day balances less than Rs 50 lakh, the interest rate would be 3%. For end-of-day balances above Rs 50 lakh, the bank offers 3.5%.

PNB savings account interest rate

Punjab National Bank offers an interest rate of 2.70% on balances less than Rs 10 lakh and 2.75% on account balances of Rs 10 lakh to less than Rs 100 million. PNB offers 3% interest on account balance of Rs 100 crore or more. Rates take effect from January 1, 2023.

Union Bank of India Savings Account Interest Rate

Union Bank of India offers an interest rate of 2.75% on balances up to Rs 50 lakh and 2.90% on balances above Rs 50 lakh and Rs 100 crore. The bank offers 3.10% on balances above Rs 100 million and Rs 500 million and 3.40% on balances above Rs 500 million and Rs 1,000 million. The highest interest rate of 4.20% is paid on balances above Rs 2,000 crore. Rates come into effect from June 21, 2024.

IDFC FIRST Bank Savings Account

IDFC First Bank offers 3% interest below Rs 5 lakh, 7.25% for balances between Rs 5 lakh and less than Rs 100 crore. The bank offers 4.50% on balances between Rs 100 lakh crore and Rs 200 lakh crore.