A savings account is a fundamental type of account that enables bank deposits. You may do this to keep your money secure and access it whenever you need it. Normally, savings account interest is relatively low, but since the RBI raised the repo rate in early August, several banks have boosted savings account interest.
Let us identify the banks whose interest rates have increased.
The interest rates on Bandhan Bank’s savings accounts have increased as a result of the RBI’s hike in the repo rate. On August 22, 2022, the new interest rates went into effect, according to the Bandhan Bank website. For deposits over Rs 1 lakh and up to Rs 10 lakh, Bandhan Bank has raised the rate of interest by 1% to 6%. Previously, the bank paid 5% interest on this deposit. The bank’s website states that deposits up to Rs 1 lakh would earn interest at a rate of 3% annually. Deposits above Rs 1 lakh and up to Rs 10 lakh will earn interest at a rate of 6%, while deposits over Rs 10 lakh and over Rs 2 crore would earn interest at a rate of 6.25%.
Federal Bank Savings Account
With effect starting on August 17, 2022, Federal Bank has announced an increase in interest rates for savings accounts. Customers with savings accounts under Rs 5 crore would now receive 2.40 percent interest, according to the bank’s website.
Ujjivan Savings Account
The interest rates on Ujjivan Small Finance Bank’s savings accounts have gone raised. The updated rates took effect on August 9 according to the bank’s official website. The bank now offers interest rates of 3.50 percent on balances up to Rs. 1 lakh and 6 percent on balances beyond Rs. 1 lakh up to Rs. 5 lakh for savings accounts.
IndusInd Bank Savings Account
The interest rates on its savings accounts have been changed by private sector bank IndusInd Bank. The new rates are effective as of August 10, 2022, according to the bank’s official website. The bank is giving interest rates of 3.50 percent on amounts up to Rs. 1 lakh, 3.50 percent on amounts beyond Rs. 1 lakh but below Rs. 10 lakh, and 4.5 percent on daily balances exceeding Rs. 10 lakh but below Rs. 1 crore.
Indian Overseas Bank Savings Account Interest Rates
Also changing the interest rates on its savings accounts is Indian Overseas Bank. The bank will pay 2.75 percent interest on any balance you have in your account up to Rs 25 lakh.
DCB Savings Account
According to DCB’s official website, the new interest rates will take effect on August 22, 2022. Holders of savings accounts (DCB Savings accounts) can get up to 7% interest on their deposits.