Calculation methodology for Interest Rate on Savings Deposit

Interest rate on Savings Deposit (Including Prime Savings plus NRE/Prime Savings plus NRO)
Account Type
Domestic/NRE/NRO
Daily Balance up to Rs 1 Lac
Daily Balance above Rs 1 Lac to less than Rs. 50 Lac
Daily Balances Rs. 50 Lac and above

Rate p.a.
5.50%
6.10%
7.00%

Points to note:
1.

Revised interest rates are applicable w.e.f. 1st April 2013

2.

Interest will be calculated on daily basis, basis the end of day balance in the account

3.

Interest of 5.50% p.a will be applied for amount up to Rs.1,00,000/-, while 6.1% p.a. will be applied on the
incremental amount above Rs. 1,00,000 to less than Rs. 50,00,000 & Any Incremental Balance of Rs. 50 Lac and
above 7% p.a. will be applied
Example
a. Balance in the Account on Day 1 is Rs. 50,000 Entire Balance will receive 5.5% p.a.
Rate for Day 1
b.

Interest

Balance in the Account on Day 2 is Rs. 1,50,000 Balance upto Rs. 1 Lac will receive 5.5% p.a. &
remaining balance will receive 6.1% for the Day 2

c. Balance in the Account on Day 3 is Rs. 51,00,000 - Balance upto Rs. 1 Lac will receive 5.5% p.a. &
Balance above Rs 1,00,000 to less than Rs. 50,00,000 will receive 6.1% & Balances Rs. 50 Lac and above
will receive 7% p.a. for the Day 3
4.

The interest is paid at half yearly intervals 30th September & 31st March