The Reserve Bank of India’s (RBI) mandate to banks to start calculating interest rates on savings accounts on a daily basis from April 1 will benefit you.
Currently, banks diddle you by not paying interest for the full month. They calculate interest on savings accounts on the lowest available balance between the 11th and the last day of a month.
As a result, you get less than the official 3.5% rate on savings accounts.
But from April 1, the central bank has directed banks to start paying saving deposit customers on a daily average basis.
“According to the revised norm of calculating interest, savings bank customers will benefit by an additional 60 basis points (100 basis points make 1%). Till now, customers were getting only 2.9% interest on their average balances. The new daily balance method will provide additional returns to customers and improve their return to 3.5%,” said Bipin Kabra, chief financial officer, Dhanlaxmi Bank.
Source: http://business.rediff.com/report/2010/mar/31/perfin-your-savings-account-to-earn-more.htm
No comments:
Post a Comment