DCB Bank Revises Interest Rates On Savings Bank Account: Now Get Up To 6.75%

The private sector lender DCB Bank has made an interest rate revision on savings bank deposits. The revised rates go into effect on February 7, 2022, and they apply to a resident, non-resident, and non-resident overseas savings bank accounts. Elite Savings Account, Family Savings Account, Shubh Labh Savings Account, Privilege Savings Account, Cashback Savings Account, Classic Savings Account, and Basic Savings Bank Deposit Account or BSBDA are some of the bank's savings account offerings.

DCB Bank Savings Account Interest Rates

The bank is giving a 2.50 percent interest rate on balances up to 1 lakh on the account starting February 7, 2022. The bank is currently paying a 4.50 percent interest rate on balances between 1 lakh and 2 lakh rupees. DCB Bank is currently giving a 5.00 percent interest rate on balances between 2 lakh and less than 10 lakh. DCB Bank is currently offering a 6.25 percent interest rate on balances in the account ranging from ten lakh to less than twenty-five lakh rupees. Savings accounts with balances between Rs. 25 lakh and Rs. 50 lakh will now fetch a 6.50 percent interest rate. On savings account balances of 50 lakh to less than 2 crore, the bank is providing the highest interest rate of 6.75 percent. The bank is now offering an interest rate of 5.50 percent on savings account balances of Rs 2 crore to less than 50 crore, and an interest rate of 5.00 percent on balances of 50 crore and above in the account.

Balance Range (INR)	Rate of Interest p.a. W.E.F February 7, 2022
On balances up to 1 lakh in the account	2.50%
On balances above 1 lakh to less than 2 lakh in the account	4.50%
On balances from 2 lakh to less than 10 lakh in the account	5.00%
On balances from 10 lakh to less than 25 lakh in the account	6.25%
On balances from 25 lakh to less than 50 lakh in the account	6.50%
On balances from 50 lakh to less than 2 crore in the account	6.75%
On balances from 2 crore to less than 50 crore in the account	5.50%
On balances from 50 crore and above	5.00%
Source: Bank Website

Note

If a bank goes bankrupt, a depositor's only safeguard is the Rs 5 lakh insurance cover provided by the Deposit Insurance and Credit Guarantee Corporation (DICGC). Savings accounts, fixed deposits (FD), current accounts, recurring deposits (RD), and other deposits are covered by DICGC's insurance. Each depositor in a bank is covered up to a maximum of Rs 5 lakh for both principal and interest amounts maintained by him or her which is a point to note here for saving account holders.

The interest rates on such a savings account will be calculated on existing incremental balances. Under section 80TTA of the Income Tax Act, interest earned on a savings bank account is tax-free up to Rs 10,000. If the interest received in a savings account surpasses Rs 10,000, the additional interest on the savings account will be taxed, and the income you get from a savings account would be taxable under the category "Income from other sources."