ALSO READAxis Bank cuts interest rate by 50 bps to 3.5% on deposits up to Rs 50 lakh Bank of Baroda follows SBI, cuts savings rate by 50 bps Axis Bank cuts savings bank deposits rate to 3.5% on deposits below Rs 50 lakh After merger of 5 associates with SBI, Govt keen to consolidate more PSBs SBI gains after cutting savings bank rate to 3.5% for deposits below Rs 1 cr
PSU lender Indian Bank on Friday said it will offer an interest rate of 4 per cent per annum on savings account with an incremental balance of over Rs 50 lakh and 3.50 per cent per annum for deposits up to Rs 50 lakh.
The lender in a statement said it "has introduced two tier interest rate structure for saving bank accounts and will offer 4 per cent interest per annum for incremental balance over Rs 50 lakh and 3.50 per cent per annum for balance up to Rs 50 lakh."
The new interest rate will be effective from August 16, 2017, the bank said in a BSE filing.
Recently, the country's largest lender State Bank of India had slashed interest rate on savings account deposits by 50 basis points to 3.5 per on balance of Rs 1 crore and below.
However, SBI continues to offer 4 per cent interest on savings account balance of Rs 1 crore and above.