Back3 savings accounts fetching inflation-beating return of 7% effective from August
Savings accounts are a crucial component of one's personal finances since they not only yield interest on your saving deposits but also provide adequate liquidity for you to access your funds at any time, anywhere, which may be utilised to cover emergencies.
_1609311026964_1609311043784_1661680100846_1661680100846.jpg "Here are the banks delivering 7% returns on savings accounts, which outpace inflation, since the repo rate increase that caused substantial hikes in interest rates. (Shutterstock)")
PremiumThe interest rates on fixed deposits have already been raised across the country since the RBI increased the repo rate in August, and some banks have also upped the interest rates on savings accounts. Savings accounts are a crucial component of one's personal finances since they not only yield interest on your saving deposits but also provide adequate liquidity for you to access your funds at any time, anywhere, which may be utilised to cover emergencies. Savings accounts are the safest place to keep your hard earned money and help us better manage our finances and achieve our financial goals because, with a savings account, you could only make withdrawals for urgent needs while the remaining balance will continue to pay you interest, which will be a regular source of income for your financial health. Inflation measured by Consumer Price Index (CPI) in India dropped from 7.01 per cent in June to 6.71 per cent in July. Here are the banks delivering 7% returns on savings accounts, which outpace inflation, since the repo rate increase caused substantial hikes in interest rates.
DCB Bank Savings Account Rates
The rates for savings accounts at DCB Bank increased on August 22, 2022. After the modification, the bank is now giving a maximum interest rate of 7% on deposits made into savings accounts that are between Rs. 25 lakh and less than Rs. 2 crore. Interest on DCB Bank savings accounts will be determined daily based on the account's end-of-day balance and paid out quarterly. DCB Bank has mentioned on its website that “These interest rates are applicable to resident, NRE and NRO savings accounts, and subject to change without prior notice."
Ujjivan Small Finance Bank Savings Account
Ujjivan Small Finance Bank raised the rates on its savings accounts on August 9, 2022. The bank is now giving a 7% interest rate on deposits made into savings accounts between ₹5 lakh and ₹5 crore. The savings account interest rates are determined based on day-end balances kept in the account and are paid by Ujjivan Small Finance Bank on a quarterly basis. The bank has mentioned on its website that “The higher interest rate will be applied and paid only basis the balances maintained as per slabs. Ex: If a customer maintains Rs.120,000/- in the savings account, 3.50% interest will be earned for Rs.100,000/- and 6.00% interest will be earned for the remaining Rs.20,000/-."
Shivalik Small Finance Bank
Shivalik Small Finance Bank revised its savings account interest rates on August 23rd, 2022. The bank is now giving a maximum interest rate of 7% on savings account balances of Rs. 2 crore to Rs. 7 crore and above as a result of the modification. Shivalik Small Finance Bank calculates interest based on day-end balances held in the savings account and pays it on a quarterly basis.
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