INSUBCONTINENT EXCLUSIVE:
By and large, most large scale banks offer an interest rate similar to each other's rates
If you want to be able to access your bank savings anytime, and can't afford to dispense the
savings for parking it in a fixed deposit (FD) account, the State Bank of India ((SBI) savings account or any other bank's savings account
seems to be a good alternative
However, your existing bank may not be offering a good return on the savings account
In such a case, it's ideal to compare the interest rates of savings bank account of all major banks before you take a final call on the
State Bank of India (SBI) offers interest rates which are 3.5 per cent for an amount less than Rs one crore
On the deposits above Rs one crore, the interest rate stands at 4 per cent
To make the most of the savings bank account, one can explore the option of opening an SBI savings plus account that enables the account
holders to earn more interest on the unused account balance while offering the option to access the money as and when needed
In SBI savings plus account, the savings bank account is linked to the multi option deposit (MOD) account
The surplus fund above the threshold limit from the savings bank account is transferred to term deposits opened in multiples of 1,000.State
Bank of India (SBI)Savings Account balanceInterest RatesSaving Deposits Balance upto Rs
1 crore.3.50% p.aSaving Deposits Balance above Rs
1 crore.4.00% p.aICICI BankSavings Account balanceInterest RatesBelow Rs 50 lakh (end of day bal)3.5%Above Rs 50 lakh4%Just as State Bank of
India (SBI), the interest rates on the savings account stand at 3.5 per cent and 4 per cent
However, the threshold of higher rate of interest is Rs 50 lakh instead of Rs one crore in case of SBI.ICICI Bank website also highlights
that the interest amount calculated is rounded off to the nearest rupee
Also, interest will be paid quarterly in March, June, September and December with effect from March 30, 2016
50 lakh and above4%Below Rs 50 lakh3.50%The interest rate offered by HDFC Bank is a mere 4 per cent when the amount of savings bank account
balanceInterest RatesBalance upto Rs
50 Lakh3.50%Saving Deposits Balance above Rs
50 Lakh4.00%The interest rate offered by Bank of Baroda is a mere 3.5 per cent when the amount of deposits is in within the range of Rs 50
balanceInterest RatesLess than Rs 1 lakh5%Between Rs one lakh and Rs one crore6%Above Rs one crore6.25%The interest rates offered by Yes
The savings account balance, when less than Rs one lakh, fetches an interest rate of 5 percent, a good 150 basis points higher than the
The savings account balance, when between Rs one lakh and Rs one crore, offers an interest rate of 6 per cent, which is mere 65 basis points
less than what SBI offers on its one-year term deposits.For the account balance above Rs one crore, the interest rate is as high as 6.25
percent.As a matter of fact the differential in the rates of interest between term deposits and savings account is usually large
For instance, SBI pays 6.65 percent on its one year term deposits while it offers only 3.5 per cent on the deposits to the tune of less than
Rs one crore.In such a scenario, the interest rates on the savings bank account of one bank (Yes Bank), being closer to the fixed deposit
interest rates of another bank (SBI), is quite significant and noteworthy.It is noteworthy that the SBI offers interest rates on its fixed
deposits (FDs) at these rates
SBI revised its latest FD interest rates on May 28, 2018
The interest rates offered by post offices can be accessed here
At the same time, the interest rates of small finance banks are significantly higher and can go as high as 9 per cent per annum.
