Best Savings Bank Accounts in India

People often have money they want to save for later instead of spending it right away. A savings bank account allows you to deposit your money safely with the bank, so you don't have to carry it around or hide it in that rusted old steel safe at home. It is the most basic account that you can open at any bank. In this article, we will discuss a few of the best savings bank accounts available in India that can provide a seamless banking experience.

How to Choose a Savings Bank Account?

Here are some of the key factors to consider before opening a savings bank account:

1. Interest rates

Compare the interest rates offered by different banks. Look for accounts that offer competitive or relatively high interest rates to maximise your savings.

2. Minimum Balance

Check the minimum balance requirement for each account. Choose an account that aligns with your financial situation and can be easily maintained to avoid penalties. 

3. Fees and charges

Take note of any fees and charges associated with the savings account, including maintenance, ATM, or transaction fees. Choose an account with minimal or no charges, particularly if you plan to conduct regular transactions.

4. Withdrawal and transaction limit

Transaction and withdrawal limits on savings bank accounts refer to the maximum amount of money that can be transacted or withdrawn from the account within a specified period. The banks set these limits to ensure security, manage liquidity, and prevent misuse or fraudulent activities.

Look out for daily withdrawals, transactions, and other transfer limits before you open an account.

5. Customer service

Evaluate the quality of customer service provided by the bank. Check online reviews and ratings to gauge customer satisfaction and responsiveness to queries or complaints. Opting for a bank with an extensive network of branches can enhance your banking experience. Additionally, ensure the availability of a nearby branch for your convenience.

6. Bank’s financial health

Before opening a savings account, assess the bank's financial health. Look for indicators like capital adequacy, asset quality, profitability, and liquidity. Consider credit ratings, regulatory compliance, reputation, and track record to ensure the safety and growth of your funds.

Best Savings Bank Accounts in India

1. State Bank of India (SBI)

State Bank of India (SBI) is a multinational public sector bank and the largest bank in India. SBI offers a variety of savings accounts with different interest rates. The interest rate on SBI savings accounts ranges from 2.70% to 4.25%, depending on the balance. Furthermore, SBI offers several other features, such as free ATM withdrawals, online banking, and mobile banking.

As of March 31, 2023, the State Bank of India (SBI) has 28,802 branches in India. SBI also has a network of over 62,617 ATMs and 71,968 Business Correspondent (BC) outlets across India. Additionally, SBI has a market share of 27.24% as of FY23, making it the largest bank in India.

The various types of saving accounts offered by SBI are:

• Basic Savings Account (under Pradhan Mantri Jan Dhan Yojna)
• Savings Bank Account
• Basic Small Savings Account
• Savings Account for Minors
• Savings Plus Account
• Insta Plus Video KYC Savings Account

Interest rate offered by SBI savings account

Balance	Interest Rate (per annum)
Less than ₹10 crore	2.70%
₹10 crore & Above	3.00%

2. HDFC Bank

HDFC Bank is the largest private-sector bank in India by assets. The bank offers a savings account with an interest rate of 3%. HDFC Bank has branch networks across several countries outside India, including the United States, the United Kingdom, Singapore, and the United Arab Emirates. The bank's international presence is growing, and it plans to open more branches in other countries in the coming years.

As of March 31, 2023, HDFC Bank has 7,821 branches in India. HDFC Bank also has a network of over 19,727 ATMs and 5,200 Business Correspondent (BC) outlets across India. HDFC Bank has a market share of 18.71% in the Indian banking sector. After the State Bank of India (SBI), it is the second-largest bank in India in terms of market share.

The various types of saving accounts offered by HDFC Bank are:

• Regular Savings Account
• Women’s Savings Account
• Savings Max Account
• Specialé Gold and Specialé Platinum
• DigiSave Youth Account
• Senior Citizen’s Account
• Kids Advantage Account
• Basic Savings Bank Deposit Account
• Super Kids Savings Account
• Instant Savings Account Online

Interest rate offered by HDFC Bank savings account

Balance	Interest Rate (per annum)
Less than ₹50 lakh	3.00%
₹50 lakh & Above	3.50%

3. Axis Bank

Axis Bank is a private-sector bank and is the fourth-largest bank in India by market capitalization and the fifth-largest bank in India by assets. The bank's market share in the Indian banking sector is 5.64% as of March 31, 2023. This makes it the fourth-largest bank in India by market share. 

The bank has 5,238 branches in India. The bank also has a network of over 15,953 ATMs and cash recyclers across India.

Axis Bank's market share has been growing steadily over the past few years. In 2018, the bank's market share was 3.9%. This growth is due to several factors, including the bank's strong financial performance, a wide range of products and services, and strong brand reputation.

The various types of saving accounts offered by the bank are:

• EasyAccess Savings Account
• Prime Savings Account
• Future Stars Savings Account
• Senior Privilege Savings Account
• Pension Savings Account
• Insurance Agent Account
• Basic Savings Account
• Small Basic Savings Account
• Liberty Savings Account
• Prestige Digital Savings Account
• Priority Digital Savings Account
• Burgundy Digital Savings Account
• Government Scholarship Savings Account

Interest rate offered by Axis savings account

Balance	Interest Rate (per annum)
Less than ₹50 lakh	3.00%
₹50 lakh to ₹800 crore	3.50%

4. ICICI Bank

ICICI Bank is a multinational banking and financial services company headquartered in Mumbai, India. It is the third-largest bank in India by market capitalization and the second-largest private-sector bank in India by assets.

As of March 31, 2023, ICICI Bank has 6,612 branches, over 15,589 ATMs, and 13,135 Business Correspondent (BC) outlets across India. ICICI Bank has a 14.01% market share.

The various types of saving accounts offered by ICICI Bank are:

• Insta Save Account
• Advantage Woman Aura Savings Account
• Advantage Woman Savings Account
• Seniors Club Savings Account
• Young Stars Savings Account
• Smart Star Savings Account
• Retire Happy Savings Account
• Family Savings Account
• Regular Savings Account
• Silver Savings Account
• Basic Savings Bank Account (BSBDA)
• Easy Receive Savings Account
• Professional Savings Account
• ICICI Bank@Campus Savings Account

Interest rate offered by ICICI Bank savings account

Balance	Interest Rate (per annum)
Less than ₹50 lakh	3.00%
₹50 lakh & Above	3.50%

5. Kotak Mahindra Bank

Kotak Mahindra Bank Limited is an Indian banking and financial services company headquartered in Mumbai. It offers banking products and financial services for corporate and retail customers in personal finance, investment banking, life insurance, and wealth management.

Kotak Mahindra Bank's market share in the Indian banking sector is 3.51% as of March 31, 2023. The bank has 1,780 branches and 2,963 ATMs across India.

The various types of saving accounts offered by Kotak Mahindra Bank are:

• Kotak 811 Digital Bank account
• Kotak 811 Edge Digital Bank Account
• Edge Savings Account
• Junior – The Savings Account for Kids
• Pro Savings Account
• My Family Savings Account
• Classic Savings Account
• Sanman Savings Account
• Ace Savings Account
• Grand – Savings Account
• Alpha – The Savings & Investment Programme
• Nova Savings Account
• Silk Women’s Savings Account
• BSBDA/Small Accounts

Interest rate offered by Kotak Mahindra Bank savings account

Balance	Interest Rate (per annum)
Less than ₹50 crore	3.50%
₹50 lakh & Above	4.00%

In conclusion, several top savings bank accounts in India offer various benefits and features suited to different individuals' needs. It is essential to consider factors such as interest rates, minimum balance requirements, customer service, fees, and digital banking facilities while choosing the best savings account. Moreover, every savings account has account-specific minimum balance requirements, withdrawal, and transaction limits. Overall, the best savings bank account is the one that best meets all your needs!