Best Bank to park funds <5 lakhs

[rohant]

Hi guys,

As we all know IDFC and AUSFB have decreased the interest rate on savings A/C as low as the interest given by the top banks. Which Bank would be the best to park funds <5 lakh and get the best returns on the same.

AUSFB decreased the interest for range 1 lakh-5 lakhs from 5% to 4%. IDFC has been giving the same interest rate.

What's next then?

I could have researched, but I know someone might have already done the research and could help people who are in the same boat as me.

Thanks,
Rohan

 

[Deleted member 11974]

indus
sbm
+
+

 

[Raavan]

Hi guys,

As we all know IDFC and AUSFB have decreased the interest rate on savings A/C as low as the interest given by the top banks. Which Bank would be the best to park funds <5 lakh and get the best returns on the same.

AUSFB decreased the interest for range 1 lakh-5 lakhs from 5% to 4%. IDFC has been giving the same interest rate.

What's next then?

I could have researched, but I know someone might have already done the research and could help people who are in the same boat as me.

Thanks,
Rohan

Right now RBL has better interest rate with 4.25% upto 1lac and 5.5% upto 10lac.

If can opt for mehnat then unity SFB has the best with 6% upto 1lac and 7% upto 5lac.



View the full list below -
Thread 'Savings Account Interest Rates' https://www.technofino.in/community/threads/savings-account-interest-rates.19403/

 

[rohant]

Right now RBL has better interest rate with 4.25% upto 1lac and 5.5% upto 10lac.

If can opt for mehnat then unity SFB has the best with 6% upto 1lac and 7% upto 5lac.



View the full list below -
Thread 'Savings Account Interest Rates' https://www.technofino.in/community/threads/savings-account-interest-rates.19403/

After checking Unity bank's website, I am sure it'll shutdown anytime lol.

 

[Ak Singh]

After checking Unity bank's website, I am sure it'll shutdown anytime lol.

Failing banks in India is not joke.😆
RBI keeps their eyes on every bank.
RBI cannot allow this to happen in a growing economy like India.
If any banks fails people will not believe in any banking system.
You are talking like a normal person.
Even yes bank still working smoothly.
And RBI saved yes bank.

 

[rohant]

Failing banks in India is not joke.😆
RBI keeps their eyes on every bank.
RBI cannot allow this to happen in a growing economy like India.
If any banks fails people will not believe in any banking system.
You are talking like a normal person.
Even yes bank still working smoothly.
And RBI saved yes bank.

Can't compare Yes Bank with Unity Bank. Once check their website. I am not sure how RBI can accept a bank having a terrible website.

 

[mj01]

Kotak activ money gives 7%. Technically the balance gets transferred to FD, but there is no penalty for liquidation.

 

[Maikalal Jaikishan]

Kotak activ money gives 7%. Technically the balance gets transferred to FD, but there is no penalty for liquidation.

I have heard some bad things about auto sweep like this. Is it recommended? Some people say we can get interest even lower than savings account there because of shady practices.

 

[nrj1007]

Utkarsh , equitas

 

[mj01]

I have heard some bad things about auto sweep like this. Is it recommended? Some people say we can get interest even lower than savings account there because of shady practices.

The interest can be lower if the funds are parked for a very short period (less than 2 weeks or so). Even then, the FD is broken in multiples of 5k. So you should be fine unless you plan to move large amounts in and out in short periods of time.

 

[iampqq]

My bank account

 

[Sourabh_13]

Why do you want to keep so much money in a savings account?

 

[rohant]

Kotak activ money gives 7%. Technically the balance gets transferred to FD, but there is no penalty for liquidation.

This makes sense. Is it like casa sweep in program?

 

[rohant]

Why do you want to keep so much money in a savings account?

Until I find a better way to invest the money

 

[VasukiVasuki is verified member.]

Until I find a better way to invest the money

Wait for elections if Modi is winning start investing from morning in random stocks each will give return 🌚
If raga wins
Stock market will fall to knees proposing foreign investors to not pull out

 

[Vishal N]

Why do you want to keep so much money in a savings account?

Could be emergency fund.

5 lakhs is nothing if you have kids. One kid will come and tell you have to pay 2 lakhs as school/college fees in 24 hours since he forgot to inform before😂

 

[VasukiVasuki is verified member.]

Could be emergency fund.

5 lakhs is nothing if you have kids. One kid will come and tell you have to pay 2 lakhs as school/college fees in 24 hours since he forgot to inform before😂

Indirectly telling his sad story 😂

 

[Walter White]

Kisi bhi FD me daal lo is time pe jispe rates best ho. Waise bhi coming months me RBI monetary easing karega toh itne acche rates kuch time tak nhi milenge.

 

[Sourabh_13]

Until I find a better way to invest the money

You may consider liquid mutual funds. ~7%pa interest rate, paid daily, no lock-in.

 

[karanssh]

You may consider liquid mutual funds. ~7%pa interest rate, paid daily, no lock-in.

7 is a bit too optimistic.
if you are in 30% bracket, then parking some funds in equity arbitrage makes sense
with liquid funds, expect 5-7% depending on repo rate