Interest rates

Ujjivan Small Finance Bank cuts interest rates on savings account by 50 basis points

Investment

oi-Vipul Das

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Ujjivan Small Finance Bank has announced a reduction in interest rates for savings accounts. The bank previously offered an interest rate of 4% on savings account deposits up to Rs. 1 lakh, but from April 1, 2022, it will offer an interest rate of 3.50% a reduction of 50 basis points. Outside this balance slab, the bank’s interest rate remained stable, with a maximum interest rate of 7% on savings accounts.

Ujjivan Small Finance Bank Savings Account Interest Rate

The bank would grant an interest rate of 3.50% on savings account balances up to Rs 1 lakh from 1 April 2022. The interest rate on savings account balances of more than Rs 1 lakh to Rs 25 lakhs would be 7.00% per annum. Ujjivan SFB is reportedly offering an interest rate of 6.00% on savings bank deposits ranging from Rs 25 lakhs to Rs 10 crores. The interest rate on savings accounts with balances of more than Rs 10 crores will be 6.75%. These interest rates apply to resident and non-resident accounts. Interest will be determined on the end-of-day balances in the savings account and paid quarterly by the bank.

Amount in Rs Interest rate (pa)
Up to 1,000,000 3.50%
More than 1 Lakh to 25 Lakhs 7.00%
More than 25 lakhs to 10 Crores 6.00%
More than 10 crore 6.75%
Source: Bank website. (Effective April 1, 2022.)

To note

RBL Bank, IDFC First Bank and Indian Bank also announced new interest rates for savings accounts on April 1, 2022; for more details, please click on the links below.

Article first published: Saturday, April 2, 2022, 11:03 a.m. [IST]