Opening a savings account is the first step in managing your personal finances as well as allowing you to save money for emergencies. The deposit safety and applicable interest rates on savings accounts make it a great place to save emergency funds for short-term purposes, which investors should have in their portfolio. Savings accounts seem to be the most effective way to get money whenever you need it and from any location, giving you a complete impact on your finances. Savings account income is subject to taxation under the head “Income from other sources”. As a result, the interest received above 10,000 is subject to taxation only; However, section 80TTA allows deduction up to 10,000. Individuals can check out organizations that are offering higher interest rates on savings accounts as interest rates are rising. Listed below are the best financial institutions offering competitive interest rates on savings bank accounts.
SBI Savings Account
SBI is offering an interest rate of 2.70 per cent per annum on savings bank deposit accounts with balances up to Rs. 1 lakh as per the interest rates applicable on savings bank deposits up to May 31, 2020. Whereas the interest rate on deposit accounts with balances exceeding Rs. 1 lakh is 2.70 percent.
see full image
hdfc bank savings account
The interest rate for savings bank deposit accounts has been updated by HDFC Bank till April 6, 2022. The bank is now offering an interest rate of 3.0 per cent and an interest rate of 3.50 per cent on savings account balances under Rs 50 lakh. On balance amount exceeding Rs.50 lakhs. The bank will determine your savings bank interest on a daily balance basis and pay it to you on a quarterly basis.
see full image
ICICI Bank Savings Account
The effective interest rate for savings accounts has been updated by ICICI Bank with effect from June 4, 2020. Savings bank account interest is calculated on the basis of daily closing balance in the account and interest is paid on quarterly basis. The interest rate for savings account holders is 3.00 per cent for day-end balances less than Rs. 50 lakh and 3.50 per cent for balance above Rs. 50 lakhs.
see full image
Axis Bank Savings Account
The amount held in the account will determine the interest rate and in Axis Bank, it now fluctuates between 3 to 3.5 per cent, and these rates are effective from June 1, 2022. The interest rate of a savings account is calculated daily and credited to the account by the bank once every three months. The rate of interest offered on savings account balance under Rs. 50 lakhs is 3 per cent per annum and the rate of interest which is applicable on balance between Rs. 50 lakhs and below Rs. 800 crore is 3.50 per cent per annum.
see full image
IDFC First Bank Savings Account
IDFC First Bank savings account interest rates are effective from June 1, 2022. The interest rate on savings account balances up to Rs. 10 lakh is 4 per cent, while the interest rate is offered on balances between Rs. 10 lakh and Rs. 10 crore is 6 percent, which is the highest. Interest is paid at the rate of 4.50 per cent on the balance between 100 crore and 200 crore in savings accounts and at the rate of 5.00 per cent on balances between 10 crore and 100 crore
see full image
post office savings account
For individual or joint accounts, the current interest rate on post office savings accounts (SBs) is 4.0 per cent per annum for the third quarter of 2022. Interest will be credited to the accounts at the prescribed rate of interest at the end of each financial year. Finance Ministry. The account can be started as a single account by only one person, and can be maintained with a minimum deposit of Rs. 500. Only one account can be set up in the name of a minor, a person above the age of 10 years or a person of unsound mind and one nomination should be made by the individual at the time of opening the account.