Rates
High-Interest Savings Accounts
Banks paying 5%–7% on savings — which slabs earn the high rate, the real effective rate on your balance, and the trade-offs.
Updated 30 September 2026 · 26 banks trackedBest effective rate on ₹10 lakh
5.65%
IDFC FIRST BankWhat you need to know
A handful of banks pay 5%–7% on savings — but only on the portion of your balance in specific slabs. On ₹1 lakh you may still earn only 2.5%–3%. Check the effective rate for your typical balance, the minimum balance requirement and charges before switching.
Banks with high-rate slabs
| Bank | High-rate slabs | On ₹1 lakh | On ₹10 lakh | Yearly interest on ₹10 lakh |
|---|---|---|---|---|
| IDFC FIRST Bank | Above ₹3 lakh to ₹25 lakh: 7.00% · Above ₹25 lakh to ₹5 crore: 6.25% · Above ₹5 crore: 5.00% | 2.50% | 5.65% | ₹56,500 |
| DBS Bank India | Above ₹2 lakh to ₹50 lakh: 5.00% | 2.50% | 5.00% | ₹50,000 |
| Bandhan Bank | ₹5 lakh to ₹10 lakh: 4.85% · ₹10 lakh to ₹50 lakh: 5.35% · ₹50 lakh to ₹5 crore: 5.55% | 2.70% | 4.85% | ₹48,500 |
| RBL Bank | Above ₹5 lakh to ₹10 lakh: 5.00% · Above ₹10 lakh to ₹7.5 crore: 6.00% · Above ₹7.5 crore: 5.50% | 3.00% | 4.00% | ₹40,000 |
| IndusInd Bank | ₹5 crore to ₹100 crore: 5.00% · ₹100 crore to ₹150 crore: 7.05% · ₹150 crore to ₹1,400 crore: 7.00% | 2.50% | 3.00% | ₹30,000 |
| Union Bank of India | >₹2,000 crore to ₹3,000 crore: 5.60% · Above ₹3,000 crore: 6.25% | 2.50% | 2.50% | ₹25,000 |
| Bank of India | Above ₹2,000 crore to ₹2,500 crore: 4.75% · Above ₹2,500 crore: 5.50% | 2.50% | 2.50% | ₹25,000 |
| Indian Overseas Bank | Above ₹600 crore: 6.25% | 2.50% | 2.50% | ₹25,000 |
| Federal Bank | ₹50 crore to <₹200 crore (portion above ₹10 crore): 5.50% | 2.50% | 2.50% | ₹25,000 |
| South Indian Bank | ₹5 crore to <₹25 crore: 4.50% · ₹25 crore and above: 6.00% | 2.25% | 2.25% | ₹22,500 |
| Standard Chartered Bank | ₹40 crore to ₹60 crore: 4.50% · ₹60 crore to ₹150 crore: 5.00% | 2.25% | 2.25% | ₹22,500 |
Checklist before switching
- Work out interest on your actual average balance, not the headline rate.
- Check the minimum balance and non-maintenance charge.
- Keep total deposits per bank within the ₹5 lakh DICGC cover or accept the extra risk.
- Compare with a sweep-in FD at your current bank.
Frequently asked questions
Why do some banks pay 7% on savings?
They are growing their deposit base and use high slabs to attract balances; rates can be cut at any time.
For information and comparison only. Confirm rates, charges and rules with your bank.