Federal Bank revises interest rates on savings accounts effective from today
2 min read . Updated: 23 Jan 2023, 02:36 PM IST
Premium- Federal Bank, a private sector lender, has altered its savings account interest rates. According to the bank's official website, the new rates are in effect as of today, on January 23, 2023.
Federal Bank, a private sector lender, has altered its savings account interest rates. According to the bank's official website, the new rates are in effect as of today, on January 23, 2023.
The bank is now offering an interest rate of 3.20% below the RBI's repo rate on savings accounts with end-of-day balances of less than ₹5 lakhs. Federal Bank is now offering an interest rate of 3.20% below the RBI's repo rate on savings accounts with end-of-day balances of ₹5 lakhs to less than ₹50 lakhs, and 3.15% below the RBI's repo rate on balances of ₹5 lakhs and above.
On a savings account end-of-day balance of ₹50 Lakhs to less than ₹2 Crores, Federal Bank is currently offering an interest rate of 3.20% below the RBI's repo rate for balances below ₹5 Lakhs, 3.15% below the RBI's repo rate for balances between ₹5 Lakhs and less than ₹50 Lakhs, and 2.50% below the RBI's repo rate for balances above ₹50 Lakhs.
On a savings account end-of-the-day balance of ₹2 Crores to less than ₹5 Crores, Federal Bank is now offering an interest rate of 3.20% below RBI’s Repo Rate for balances below ₹5 Lakhs, 3.15% below RBI's Repo Rate for the balance of ₹5 Lakhs to less than ₹50 Lakhs, 2.50% below RBI’s Repo Rate for the balance of ₹50 Lakhs to less than ₹2 Crores and 2.25% below RBI’s Repo Rate for the balance of ₹2 Crores and above.
On a savings account end-of-the-day balance of ₹5 Crores to less than ₹50 Crores, the bank is now offering an interest rate of 3.20% below RBI’s Repo Rate for balances up to and including ₹1 Lakh and 0.75% below RBI’s Repo Rate for the remaining balance above ₹1 Lakh. On a savings account end-of-the-day balance of ₹50 Crores and above, Federal Bank is now offering an interest rate of 3.20% below RBI’s Repo Rate for balances up to and including ₹1 Lakh and 0.25% below RBI’s Repo Rate for the remaining balance above ₹1 Lakh.
The Federal Bank's savings account interest rates will be calculated on the daily end-of-the-day balances held in savings bank accounts (Resident/NRE/ONR), and the appropriate accounts will get the interest payout on a quarterly basis. Federal Bank has mentioned on its website that “As the interest rates are linked to Repo rates, the interest rates will change as and when the Repo Rate gets revised by RBI on a T+1 basis."
The third quarter of the current fiscal year, or Q3 FY23, which concluded in December 2022, saw Federal Bank's highest standalone net profit ever at ₹803.6 crore, up 54% from ₹521.7 crore in the same period of the previous fiscal year. The bank reported ROA for the third quarter of 1.33% and an ROE of 15.91%, coupled with its highest-ever net interest income of Rs. 1957 Cr., a growth of 27.14% YoY. The bank's overall business reached Rs. 369581.25 Cr as of December 31, 2022, a growth of 16.89%. The total amount of deposits jumped from 175431.70 Cr as of December 31, 2021 to Rs. 201408.12 Cr as of December 31, 2022. To Rs. 68967.14 Cr., CASA Deposits grew by 7.19%.