Indian Bank Savings Account Interest Rate: Updated Guide & Details

Key Takeaways
 

• You earn 2.50% p.a. on balances up to ₹10,00,000, while deposits above ₹200 crore earn up to 2.65% p.a., as per Indian Bank rates. 
   
• The Indian bank savings account minimum balance requirements are categorised by branch location, ranging from ₹500 for Rural areas to ₹2,500 for Metro cities for cheque-operated accounts. 
   
• Indian Bank Savings Account Interest is calculated on a daily product basis and is credited to your account on a quarterly basis.

"Dekho boss, digital India ke zamane mein agar aapka paisa ghar ki tijori mein pada hai, toh woh sirf dhool kha raha hai, interest nahi! Bank mein paisa rakhna toh waisa hi hai jaise gym mein workout karna, shuruat mein thoda aalas aata hai par results dekh kar maza aa jata hai."

The Indian Bank savings account interest rate is the return paid by the bank on the money you keep in your savings account. It is a reward for keeping liquidity with the bank, which the bank then uses for its lending operations.

I maintain an average balance of ₹1,00,000, and if the Indian bank savings account interest rate for 1 lakh is 2.50% p.a., I would earn approximately ₹2,500 in a year. This makes my money grow without any risk.

Latest Indian Bank Savings Account Interest Rates 2025-26

The following table highlights the current interest structure offered by the Indian Bank:
 

You can optimise your deposits to hit the higher interest tiers by staying updated on these slabs.

Bonus Tip: Do you know? Indian Bank recently launched the “Ind Super 400” day special fixed deposit, which offers significantly higher returns than a savings account, especially for senior citizens.

What are the Features & Benefits of Indian Bank?

Indian Bank offers a variety of benefits that cater to the diverse needs of the Indian population. The features are designed to provide both security and ease of access.
 

These benefits ensure that your banking experience remains productive.

Indian Bank Savings Account Fees & Charges

You must be aware of the operational costs associated with your account. These charges help you maintain your account without any penalties.
 

Each account holder can now enjoy banking services without the fear of penalties for a low balance.

Popular Indian Bank Savings Account Types

The Indian bank provides various account types according to different demographics and financial goals. You can choose the one that best fits your daily requirements and saving capacity.
 

Select the right account type to enjoy specialized perks and higher convenience.

Conclusion

Indian Bank offers competitive rates starting from 2.50% and provides a variety of accounts like IB Sammaan and IB DIGI to suit everyone. You can plan your monthly expenses and savings more efficiently by using the Indian bank savings account interest rate calculator. Contact your nearest Indian Bank branch today to start your savings journey!

FAQs on Indian Bank Savings Account Interest Rate

Q1: How does Indian Bank calculate the interest on my savings? 

Interest is calculated daily based on your end-of-day closing balance. The bank uses the formula: (Daily Balance × Rate) / (365 × 100). The total sum is then credited to your account every quarter.

Q2: Which is the best account for emergency funds at Indian Bank? 

The IB DIGI account is excellent for emergency funds as it offers instant liquidity. For better returns, you can also look at the “Money Multiplier” facility, which gives higher rates than a standard bank savings account interest rate.

Q3: What are the interest rates for NRE and NRO Indian Bank savings accounts? 

Indian Bank offers the same interest rate for NRE and NRO savings accounts as domestic accounts. Currently, this is 2.50% p.a. for balances up to ₹50 crore.

Q4: Why are interest rates for savings accounts lower than fixed deposits? 

Savings accounts offer “anytime” withdrawal, which requires the bank to keep cash ready. In a Fixed Deposit, you agree to leave the money for a specific term, so the bank rewards your patience with a much higher interest rate than the Indian bank savings account interest rate per month.

Q5: Can I track my interest earnings on my phone? 

Yes, you can use the IndOASIS app to view your transaction history and interest credits. The app also features an Indian bank savings account interest rate calculator tool to help you estimate your future earnings easily