Till now you were only getting the news of increasing the interest rates on FDs of banks. Then recently, the government also announced to increase in the interest rate for some small savings schemes related to the post office. In such a situation, those people who keep their savings mostly in bank accounts remained worried. On the occasion of New Year, a bank has announced to increase in the interest rates on its savings accounts as well. Will other banks also increase the interest rate?
Yes, Fincare Small Finance Bank has given the good news of increasing interest on savings accounts in the new year. The bank says that it will give interest on a savings account at the rate of 7.11 per cent to its customers. This is probably the highest interest offered by any bank on a savings account.
Will have to keep a 5 lakh balance
Although the bank says that the annual interest of 7.11 per cent will be available on those accounts in which a balance from Rs 5 lakh to Rs 25 lakh will be maintained. Interest on the savings account will be calculated daily, while it will be credited to the customer's account every three months. The new interest rates have come into effect from January 1, 2023.
Open a bank account with Aadhaar
The bank says that any person can open a savings account through Aadhaar verification. The bank offers various types of savings account facilities to its customers. These include Imperial Savings Account, Smart Saver Account, Priority Account, Priority Plus Account, Pro-Priority Account, 101 First, 101 Priority, 101 Priority Plus and Prime Savings Account.
Will more banks also increase the interest rate?
Recently, after increasing the repo rate of RBI, banks have increased the interest rates on their FD schemes. On the other hand, by increasing the interest rates on its savings schemes by the government, the pressure on the banks to pay more interest on savings deposit schemes is going to increase. In this regard, Ashwini Rana, an expert associated with the banking sector and founder of Voice of Banking, says that this step of the government will benefit the customers depositing in the post office, while banks will also be under pressure to increase the interest rate on deposits. While the impact of the increase in the repo rate has been more on the borrowers, the same benefit has not yet been received by the depositing customers.
