Everything about Interest Rates and how they’re calculated

For savings account balance up to ₹2 lakhs, an interest rate of 3.5% per annum shall apply. For incremental balance above ₹2 lakhs up to ₹5 lakhs, an interest rate of up to 4% per annum will be applicable for the number of days the incremental balance is maintained. Similarly, for an incremental balance above ₹5 lakhs, an interest rate of up to 5% per annum will be applicable for the number of days the incremental balance is maintained.

Interest is calculated on the daily end of day balance and applied as per slab.

Note: Interest to savings account is paid out on a monthly basis.