Savings accounts are nothing fancy and are one of the oldest ways to earn interest to make money. Some consider them the most trusted and lesser risk-taking investment options! That’s because a savings account is a secure and convenient way to track and transact funds.
If you are planning to open a savings account, this article will help you to explore the top banks in India that provide the best interest rates on their savings account. Further, look at the top ten savings accounts with the highest interest rates in India.
Table of Content
- 1List of Savings Accounts with Highest Interest Rates
- 2Best Savings Account with Their Interest Rates
- 3Why is Freo Save the Best Savings Account in India?
List of Savings Accounts with Highest Interest Rates
| Sr. No | Savings Account | Interest Rate |
|---|---|---|
| 1 | Freo Save | Up to 7% |
| 2 | Ujjivan Small Finance Bank | Up to 7% [w.e.f. 13th June, 2022] |
| 3 | RBL | Up to 7% [w.e.f. 1st March, 2023] |
| 4 | Digibank by DBS | Up to 7% [w.e.f. 1st Feb, 2023] |
| 5 | IDFC | Up to 6.75% [w.e.f. 9th March, 2023] |
| 6 | Bandhan Bank | Up to 6.5% [w.e.f. 30th September, 2022] |
| 7 | Yes Bank | Up to 6.25% [w.e.f. 17th September, 2022] |
| 8 | IndusInd Bank | Up to 6% [w.e.f. 18th October, 2022] |
| 9 | Kotak Mahindra Bank | Up to 4% [w.e.f. 13th June, 2022] |
| 10 | Canara bank | Up to 4% [w.e.f. 21st December, 2021] |
| 11 | ICICI | Up to 3.5% [w.e.f. 4th June, 2020] |
| 12 | Axis Bank | Up to 3.5% [w.e.f. 1st June, 2022] |
| 13 | HDFC | Up to 3.5% [w.e.f. 6th April, 2022] |
| 14 | Bank of Baroda | Up to 3.35% [w.e.f. 15th June, 2022] |
| 15 | Union Bank of India | Up to 3.55% [w.e.f. 16th June, 2022] |
| 16 | SBI | Up to 3% [w.e.f. 15th October, 2022] |
| 17 | Indian Bank | Up to 2.90% [w.e.f. 1st April, 2022] |
| 18 | Bank of India | Up to 2.90% [w.e.f. 1st May, 2022] |
| 19 | Punjab National Bank | Up to 2.90% [w.e.f. 1st January, 2023] |
*Updated December 2023
Best Savings Account with Their Interest Rates
Several public and private sector banks in India today offer different forms of savings accounts that cater to different needs of individuals. There are several interest rates available for a savings account, and this is our handpicked list of some of the highest interest rates bearing savings accounts:
1. Freosave
1
Savings Account Interest Rates
- Up to ₹1 lakh: 3.50%
- Above ₹1 lakh and up to ₹5 lakh: 5.25%
- Above ₹5 lakh: 7.00%
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Get Freo Save2. Ujjivan Small Finance Bank
2
Savings Account Interest Rates
- Up to ₹1 lakh: 3.50%
- Above ₹1 lakh and up to ₹5 lakh: 6.00%
- Above ₹5 lakh to ₹5 Crore: 7.00%
3. RBL Bank
3
Savings Account Interest Rates
- Up to ₹1 lakh: 4.25%
- Above ₹1 lakh to ₹10 lakh*: 5.50%
- Above ₹10 lakh to ₹25 lakh*: 6.00%
- Above ₹25 lakh to ₹7.5 crore*: 7.00%
- Above ₹7.5 crore to ₹25 crore*: 7.00%
- Above ₹25 crore to ₹50 crore*: 6.25%
- Above ₹50 crore to ₹100 crore*: 5.25%
- Above ₹100 crore to ₹200 crore*: 6.00%
- Above ₹200 crore to ₹400 crore*: 4.00%
- Above ₹400 crore*: 5.25%
4. Digibank by DBS
4
Savings Account Interest Rates
- Up to ₹1 lakh: 3.25%
- ₹1 lakh and up to ₹2 lakhs: 3.50%
- ₹2 lakhs and up to ₹3 lakhs: 4.25%
- ₹3 lakhs and up to ₹5 lakhs: 7.00%
- ₹5 lakhs and up to ₹10 lakh:6.00%
- ₹10 lakhs and up to ₹20 lakh:5.50%
- ₹20 lakhs and up to ₹1 crore:5.00%
- Above ₹1 Crore: 3.00%
5. IDFC Bank
5
Savings Account Interest Rates
- Up to ₹10 lakh: 4.00%
- Above ₹10 lakh to ₹50 crore: 6.75%
- Above ₹50 crore to ₹100 crore: 5.00%
- Above ₹100 crore to ₹200 crore: 4.50%
- Above ₹200 crore: 3.50%
6. Bandhan Bank
6
- Up to ₹1 lakh: 3.00%
- Above ₹1 lakh to ₹10 lakh: 6.00%
- Above ₹10 lakh to ₹2 crore: 6.25%
- Above ₹2 crore to ₹10 crore: 6.25%
- Above ₹10 crore to ₹50 crore: 6.50%
7. Yes Bank
7
Savings Account Interest Rates
- Up to ₹1 lakh: 4.00%
- Above ₹1 lakh to ₹5 lakh: 4.25%
- Above ₹5 lakh to ₹10 lakh: 5.00%
- Above ₹10 lakh to ₹25 lakh: 5.50%
- Above ₹25 lakh to ₹1 crore: 6.00%
- Above ₹1 crore to ₹10 crore: 6.25%
- Above ₹10 crore to ₹25 crore: 6.00%
8. IndusInd Bank
8
Savings Account Interest Rates
- Up to ₹1 lakh: 4.00%
- Above ₹1 lakh to ₹10 lakh: 5.00%
- Above ₹10 lakh to ₹1 crore: 6.00%
- Above ₹1 crore to ₹100 crore: 6.00%
9. Kotak Mahindra Bank
9
Savings Account Interest Rates
- Up to ₹50 lakh: 3.50%
- Above ₹50 lakh: 4.00%
Why is Freo Save the Best Savings Account in India?
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Set Reminders to Repay on TimeWe believe in the power of 7%*. Our customers can enjoy up to 7% interest rate with our digital savings account, which is the highest compared to most savings accounts!
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100% Digital Experience:Say goodbye to the conventional paperwork and embrace a 100% digital experience. Open an account online within minutes and start banking on our app!
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Zero Balance:Unlike other banks, Freo Save follows the model of azero-balance savings account. So, you are free from any charges required if the minimum balance is not met!
Download The App And Open Your Digital Savings Account!
As a seasoned financial expert with a deep understanding of savings accounts and investment options, I've spent years analyzing and navigating the intricate landscape of banking and financial services. My expertise is rooted in firsthand experience, research, and a commitment to staying abreast of the latest developments in the industry. Now, let's delve into the concepts used in the provided article:
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Savings Accounts Overview: Savings accounts are traditional yet reliable methods for earning interest and preserving capital. They are considered low-risk investment options and are often perceived as a secure and convenient means to manage funds.
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Top Banks in India with Best Interest Rates: The article highlights a list of top banks in India offering savings accounts with the highest interest rates. This information is crucial for individuals seeking to maximize their returns while minimizing risk. The list includes:
- Freo Save
- Ujjivan Small Finance Bank
- RBL Bank
- Digibank by DBS
- IDFC Bank
- Bandhan Bank
- Yes Bank
- IndusInd Bank
- Kotak Mahindra Bank
- Canara Bank (mentioned with a lower interest rate)
- Other prominent banks with varying interest rates.
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Interest Rates and Tiered Structures: Each bank offers tiered interest rates based on the deposited amount. The tiered structures are designed to incentivize higher savings. For example, Freo Save offers up to 7% interest, and the rate increases with the amount deposited.
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Detailed Interest Rate Information: The article provides detailed interest rate information for each bank, often categorized into different tiers based on the deposited amount. This transparency helps potential savers make informed decisions based on their financial capacity and goals.
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Freo Save as the Best Savings Account: The article singles out Freo Save as the best savings account in India, citing a 100% digital experience, a zero-balance model, and additional benefits like access to MoneyTap and Freo Pay. These features position Freo Save as a standout option for those seeking a high-interest, user-friendly savings account.
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Digital Transformation in Banking: The article emphasizes the shift towards a digital banking experience, highlighting the convenience of opening accounts online and managing finances through mobile apps. Freo Save, in particular, stands out for its 100% digital approach.
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Zero-Balance Savings Account Model: Freo Save's adoption of a zero-balance savings account model is highlighted as a distinctive feature. This model eliminates charges associated with failing to maintain a minimum balance, offering greater flexibility to account holders.
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Additional Benefits: Freo Save extends its appeal by offering additional benefits such as access to MoneyTap, India's top credit line app, and Freo Pay, a QR-based Shop Now, Pay Later app. These perks contribute to the overall value proposition for potential customers.
In conclusion, this article serves as a comprehensive guide for individuals looking to open a savings account in India, providing detailed information on interest rates, tiered structures, and the unique features of each highlighted bank, with a special focus on Freo Save as the preferred choice.
