If you are used to keeping large amounts as balances in your savings accounts, it's best to move the same to banks that offer the highest interest rate on savings bank (SB) accounts. Most of the banks presently offer an interest rate of 4 per cent on balances in SB Accounts. But, here are a few banks that offer significantly higher interest rates. Please remember that you need to maintain a good average monthly balance before you receive the interest rate or you could also be penalized.
The best with an interest rate of 7% on SB accounts
Yes Bank clearly leads other banks when it comes to interest rates on savings bank accounts. The Bank offers an interest rate of 7 per cent on Savings Bank accounts. The SB account offers other facilities like free RTGS/NEFT transfer on net banking, personal accident insurance, free utility bills payment through net banking etc.
SB interest rate of 5.5% to 6%
IndusInd Bank offers a savings bank interest rate of 5.5 per cent for balances upto Rs 1 lakh and 6 per cent for balances of 1 lakh and above.
Interest rate of 5.5 to 7 per cent
Rantakar Bank offers an Interest of 5.50 per cent p.a. for amount upto Rs.1 Lac; 6.1 per cent per annum on the incremental amount above Rs 1 lakh to less than Rs 50 lakhs and any incremental amount of Rs 50 Lacs and above 7 per cent per annum.
Interest rate of 5.5 per cent to 6 per cent
Kotak Mahindra Bank offers an interest rate of 6 per cent p.a. on Savings Account balance over Rs. 1 lakh and 5.5 per cent per annum on balance up to Rs 1 lakh.
4 per cent for all other banks
All other banks, including the public sector banks offer an interest rate of 4% on balances in savings bank accounts.