Savings Account Show
Summary: Some banks offer a monthly interest credit facility on individual savings bank accounts. This allows faster compounding and a host of other bank account benefits such as insurance.
Some banks offer a monthly interest credit facility on individual savings bank accounts. This allows faster compounding and a host of other bank account benefits such as insurance
However, as we explore other investment avenues that are more attractive and profitable, many of us divert funds from our bank account. Consequently, the savings bank account has started to lose its sheen in recent years. As per the Reserve Bank of India (RBI) regulations, banks are required to credit interest to the accounts of their depositors every quarter, though they can also do so every month. If you have a significant amount in your bank account, you can see your interest earnings accumulate on a monthly or quarterly basis. The savings account interest rate is determined every month based on your average account balance, and the cumulative interest thus earned is credited to your account. The interest rate may not be credited to your account if you do not maintain the required minimum balance in your account. READ MOREWhat is a monthly return savings account?
IDFC FIRST Bank is among the few to launch a monthly interest credit facility on all savings accounts (SBAs) effective from 1 July 2021, which also offers customers several benefits in addition to the monthly return. Earning interest on an IDFC First Bank savings account means your savings will be compounded monthly, which can make a significant difference to your earnings over time. But that’s not all. You will also earn a competitive interest rate on your savings account. Get interest rate of up to 6%* p.a., depending on the balance in your savings bank account. This is quite attractive when compared to what is usually offered. As the interest is credited to your account on the first of every month, you need not wait three months.
Are there any additional benefits?
1. Personal Accident Insurance
2. Air Accident Insurance 3. Purchase Protection With rising prices and expenses, your savings alone won’t be enough. You will need higher returns on your savings regularly to cope with inflation. In such cases, monthly interest credit on your savings account will ensure that your savings grow at a faster rate. Given the various expenses you incur every month, monthly interest on your savings can be a bonus for your budget that can help lessen the financial burden. So, grab your opportunity of increasing your finances by opening a savings bank account at the earliest with IDFC First Bank! Disclaimer The contents of this article/infographic/picture/video are meant solely for information purposes. The contents are generic in nature and for informational purposes only. It is not a substitute for specific advice in your own circumstances. The information is subject to updation, completion, revision, verification and amendment and the same may change materially. The information is not intended for distribution or use by any person in any jurisdiction where such distribution or use would be contrary to law or regulation or would subject IDFC FIRST Bank or its affiliates to any licensing or registration requirements. IDFC FIRST Bank shall not be responsible for any direct/indirect loss or liability incurred by the reader for taking any financial decisions based on the contents and information mentioned. Please consult your financial advisor before making any financial decision. What is credit interest in a savings account?Interest on a savings account is the amount of money a bank or financial institution pays a depositor for holding their money with the bank. In a way, a bank borrows money from their depositors by using the deposited funds to lend money to other customers.
What is credit interest in SBI?What is the SBI Bank Credit Card Interest Rate? Generally, the interest rate charged by SBI can go up to 3.50% per month or 42% per annum. However, the interest rate differs from card to card and it is best to read your credit card statements or get in touch with SBI for more information.
How often is interest paid on a savings account?With most savings accounts and money market accounts, you'll earn interest every day, but interest is typically paid to the account monthly.
What is credit interest paid?Credit card interest is a charge for borrowing money from a financial institution with your credit card. How much interest you'll pay depends on the type of card you have, the transactions you make, and when you make repayments.
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