What is the interest rate for AU Small Finance Bank savings account

✅AU Small Finance Bank offers competitive interest rates on savings accounts, ranging from 4% to 7.25% annually, ensuring high returns on your savings.

As of 2023, the interest rate for an AU Small Finance Bank savings account varies depending on the balance maintained in the account. The interest rates range from 3.50% to 7.00% per annum. This makes it a competitive option for individuals looking to maximize their savings with attractive interest rates.

The interest rates for AU Small Finance Bank savings accounts are structured across different balance slabs, ensuring that customers with higher balances are rewarded with higher interest rates. Below is a breakdown of the current interest rates based on the account balance:

AU Small Finance Bank Savings Account Interest Rates

• Balance up to ₹1 lakh: 3.50% per annum
• Balance from ₹1 lakh to ₹10 lakh: 5.00% per annum
• Balance from ₹10 lakh to ₹1 crore: 6.00% per annum
• Balance above ₹1 crore: 7.00% per annum

These rates are subject to change based on the bank’s policies and prevailing market conditions. It’s advisable to check with the bank directly or visit their official website for the most up-to-date information.

How Interest is Calculated

Interest on the AU Small Finance Bank savings account is calculated on a daily basis and credited to the account on a quarterly basis. This means that the interest accumulates daily based on the day’s closing balance and is then paid out every quarter, making it beneficial for account holders to maintain a higher daily balance to maximize their interest earnings.

Example Calculation

For instance, if you maintain a daily balance of ₹2 lakh in your savings account, you would fall into the 5.00% interest rate slab. Here’s a simple calculation:

Daily Interest = (₹2,00,000 x 5.00%) / 365
               = ₹27.40 per day
Quarterly Interest = ₹27.40 x 90 (assuming 90 days in a quarter)
                   = ₹2,466

Hence, for a daily maintained balance of ₹2 lakh, you would earn approximately ₹2,466 as interest for the quarter.

Advantages of AU Small Finance Bank Savings Account

• High Interest Rates: Competitive interest rates compared to many other banks.
• Daily Interest Calculation: Maximizes interest earnings by calculating daily.
• Quarterly Payout: Interest is credited quarterly, providing regular earnings.
• Multiple Balance Slabs: Tailored interest rates for various balance levels.

With such features, the AU Small Finance Bank savings account can be an excellent option for individuals looking to grow their savings with attractive interest rates and flexible balance requirements.

Eligibility Criteria for AU Small Finance Bank Savings Account

When considering opening a savings account with AU Small Finance Bank, it is essential to understand the eligibility criteria involved. Meeting these criteria is crucial to ensure a smooth account opening process and to start enjoying the benefits offered by the bank.

Basic Eligibility Criteria

The basic eligibility criteria for opening a savings account with AU Small Finance Bank typically include the following:

• Minimum Age: The primary account holder is usually required to be at least 18 years old. However, some banks may offer special accounts for minors with the help of a guardian.
• Residency Status: The account holder must be a resident of India. Non-resident Indians (NRIs) may have different account options available to them.
• Documentation: Valid identity proof, address proof, and recent photographs are generally required to open a savings account.

Special Requirements

In addition to the basic criteria, there may be specific requirements based on the type of savings account you wish to open. For example:

• Minimum Balance: Some accounts may have a minimum balance requirement that needs to be maintained at all times. Ensure you are aware of this to avoid any penalties.
• Income Criteria: Certain accounts may have specific income criteria that need to be met to be eligible to open them. This is more common with premium or high-tier accounts.
• Employment Status: In some cases, the bank may require information about your employment status to open certain types of accounts.

By understanding and meeting the eligibility criteria for an AU Small Finance Bank savings account, you can ensure a hassle-free account opening process and start utilizing the various banking services offered.

Additional Benefits and Features of AU Small Finance Bank Savings Account

When considering opening a savings account, it’s not just the interest rate that matters; additional benefits and features play a crucial role in enhancing the overall banking experience. AU Small Finance Bank offers a range of perks to its customers beyond competitive interest rates.

1. Online Banking

One of the key features of AU Small Finance Bank savings account is its robust online banking platform. Customers can easily manage their accounts, transfer funds, pay bills, and track their transactions online. This convenience saves time and offers a hassle-free banking experience.

2. Mobile Banking App

The bank provides a user-friendly mobile banking app that allows customers to access their accounts on the go. With features like mobile check deposit, fund transfers, and account balance notifications, banking has never been easier. The app ensures that customers have full control over their finances at their fingertips.

3. ATM/Debit Card

Customers receive an ATM/debit card with their savings account, providing easy access to cash at ATMs nationwide. The card can also be used for online and in-store purchases, making it a versatile financial tool for everyday transactions.

4. Interest Calculation

With AU Small Finance Bank, interest on savings accounts is calculated daily and credited quarterly. This frequent compounding helps customers maximize their earnings on idle funds, ensuring that their money works harder for them.

5. Customer Service

Exceptional customer service is another highlight of AU Small Finance Bank. Customers can reach out for assistance through various channels, including phone, email, and in-branch support. The bank’s dedicated customer service team ensures that queries are promptly addressed and issues resolved efficiently.

These additional benefits and features make an AU Small Finance Bank savings account not just a place to store money but a comprehensive financial solution that caters to the diverse needs of modern banking customers.

Frequently Asked Questions

What are the different types of savings accounts offered by AU Small Finance Bank?

AU Small Finance Bank offers Regular Savings Account, Digital Savings Account, and Senior Citizen Savings Account.

What is the minimum balance requirement for a savings account at AU Small Finance Bank?

The minimum balance requirement varies depending on the type of savings account. It can range from Rs. 0 to Rs. 10,000.

Is there a limit on the number of transactions allowed in a month for AU Small Finance Bank savings accounts?

Yes, there is a limit on the number of free transactions allowed in a month. Additional transactions may attract charges.

Does AU Small Finance Bank offer any additional benefits with their savings accounts?

Yes, AU Small Finance Bank offers benefits such as personalized debit cards, free NEFT/RTGS transactions, and discounts on locker facilities.

What is the interest rate for AU Small Finance Bank savings account?

The interest rate for AU Small Finance Bank savings account can range from 3% to 6% depending on the daily balance maintained.

How can I open a savings account with AU Small Finance Bank?

You can open a savings account with AU Small Finance Bank by visiting their nearest branch or by applying online through their website.

• Types of savings accounts offered: Regular Savings Account, Digital Savings Account, Senior Citizen Savings Account
• Minimum balance requirement: Rs. 0 to Rs. 10,000
• Transaction limits: Free transactions with limits, additional transactions may attract charges
• Additional benefits: Personalized debit cards, free NEFT/RTGS transactions, discounts on locker facilities
• Interest rate: 3% to 6% depending on daily balance
• Opening an account: Visit branch or apply online

Leave a comment below if you have any more questions or check out our other articles for more information on banking services in India.