A high-interest savings account that works harder? Here’s the secret

Saving money is a cornerstone of financial planning, but setting money aside isn’t enough. Your savings must accelerate to keep pace with inflation and help you achieve your goals. One of the most effective ways to grow wealth is by choosing a high-interest savings account.

But what does this mean, and how can you benefit from it? Let’s break it down and discover how IDFC FIRST Bank can help you maximise your earnings.

How to get more interest in a savings account
 

One of the simplest and safest ways to earn more interest in your savings account is to opt for a high-interest savings account.

Here’s another example to illustrate. Krishna and Anjali both deposit ₹5,50,000 into their savings accounts. Riya chooses a traditional account with a 2.70% annual interest rate. Aman opts for a high-interest savings account, like his IDFC FIRST Bank Corporate Salary Account, offering 7.25%. Here’s how their savings grow over the year –

Krishna’s savings grow by over ₹25,025 more than Anjali’s—simply by choosing an account with a better interest rate! This demonstrates the transformative power of high-interest savings accounts in India.

Even better, IDFC FIRST Bank pays this interest into your account every month. This lets you earn interest on both your initial deposit and the accumulated interest, effectively compounding your returns.

Why do you need a high-interest savings account?
 

Before diving into the details of finding the highest interest-rate savings account, let’s understand why it matters. Inflation is the silent killer of your purchasing power. According to recent data, India's consumer price index inflation was 5.49% in September 2024. This means the cost of goods and services is rising, and if your money isn’t earning at least 5.49% annually, you’re effectively losing money.

Let’s understand with an example. If a good costs ₹5,000 today, with an inflation rate of 5.49%, its price next year will rise to ₹5,274.50. In other words, your ₹5,000 today needs to keep pace with the inflation rate to maintain its purchasing power.

Most traditional savings accounts in India offer an average interest rate between 2.6% and 8%. While this might seem safe, it’s insufficient to combat inflation. When you choose a high-interest savings account that outpaces the inflation rate, you can not only preserve the purchasing power of your money but also allow your savings to grow.

How to use a high-interest savings account to your advantage
 

A high-interest savings account is not just a tool to beat inflation—it’s a way to achieve your financial goals effectively. Here’s how you can make the most of it –

1. Build an emergency fund

Life is unpredictable, and having an emergency fund equivalent to 3-6 months of expenses is essential. A high-interest savings account helps you grow this fund faster while keeping it accessible for urgent needs.

2. Save for big-ticket purchases

Whether you’re planning to buy a house, a car or fund a wedding, a high-interest savings account allows you to accumulate money more quickly, reducing the need for loans.

3. Prepare for future milestones

Planning for your child’s education or your retirement? A high-interest savings account provides a secure and reliable way to grow your wealth over time, ensuring you meet these significant life goals faster.

4. Safeguard against market volatility

Unlike investments in stocks or mutual funds, which can be affected by market downturns, high-interest savings accounts offer stable returns, making them a safe choice for risk-averse individuals.

These are some reasons you should transition to a high-interest savings account. You not only earn higher interest, but you also work towards better financial planning.

How to choose the right savings account
 

Now, not all savings accounts are created equal. When you consider a high-interest savings account, you should also consider the following factors –

1. Fees

Some accounts come with monthly maintenance fees, transaction fees, or other hidden charges. These can eat into your earnings, so look for accounts with minimal or no fees.

2. Minimum balance requirements

Some banks require you to maintain a certain minimum balance. Make sure you can comfortably meet these requirements.

3. Accessibility and features

Consider how you access your money. Do you prefer online banking, mobile apps, or visiting a physical branch? Look for an account that offers convenient access and features that meet your needs, such as online bill pay, fund transfers, and mobile banking.

Why IDFC FIRST Bank Corporate Salary Account stands out
 

This Corporate Salary Account offers several advantages that make it a compelling choice –

1. High interest rates

The bank offers one of the highest interest-rate savings accounts in the market. You can earn up to 7.25% per annum on your account balance. Additionally, with interest credited monthly, you can ensure that your money grows faster and efficiently.

2. Zero balance requirement

No need to maintain a minimum balance, giving you complete flexibility in managing your funds without the stress of penalties.

3. Zero-fee banking

You can now enjoy access to commonly used salary account services without any charges. It includes fund transfers, chequebooks, and ATM withdrawals. This zero-fee banking ensures that every rupee you save stays in your account.

4. Unlimited ATM access

You can make free and unlimited transactions at ATMs nationwide. It allows you unparalleled convenience for accessing your money wherever you are.

5. Comprehensive insurance coverage

This high-interest savings account gives you peace of mind with the following complimentary protection for you and your family –

6. Lifestyle benefits

Enhance your everyday experiences with attractive discounts on dining and shopping and enjoy access to complimentary memberships to 20+ OTT subscriptions, along with discounts on brands like Myntra, Uber, and Starbucks.

7. Enhanced debit card features

With the VISA Platinum Debit Card, you can –

a. Make payments across physical and online merchants

b. Get free and unlimited ATM access

c. Enjoy enhanced ATM withdrawal and POS limits

d. Unlock dining and shopping offers

8. Reward points

Get up to 10X reward points on debit card transactions,  helping you save even as you spend.

9. Travel perks

Access domestic airport lounges and trip cancellation benefits of up to ₹50,000 with the Platinum Plus Salary Account and up to ₹25,000 with the Classic Plus Salary Account. Roadside assistance and vehicle services can ensure a stress-free travel experience.

10. Mobile banking excellence

You can conveniently manage over 250 banking services at your fingertips through the IDFC FIRST Bank Mobile Banking App.

These features make the Corporate Salary Account a comprehensive banking solution for salaried individuals.

Switch to smarter savings today!

Your savings deserve to work as hard as you do. With a high-interest savings account, you can grow your wealth and accelerate your journey towards financial freedom. The Corporate Salary Account offers an unparalleled combination of high interest rates, zero balance requirements, and exclusive perks to grow your money. 

Don’t wait—unlock high-interest benefits with IDFC FIRST Bank Corporate Salary Account—apply now!