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How can banks afford to pay interest on their customers savings account deposits?
The bank does not just hold on to the money you retain in your savings account. Instead, they offer loans to other customers using that money. The loan customers pay an interest to the bank and the bank in turns offers the savings account holders an interest. Since banks make money by lending our money, they offer us an interest.
Has the RBI de-regulated Savings Account Interest rates?
Yes. banks can essentially set the rate of interest they choose to pay for money held in savings accounts to their customers
What is the rate of interest in savings account?
In India as of November 2011, the interest rates are 4% or above. banks can essentially set the rate of interest they choose to pay for money held in savings accounts to their customers
Why do banks pay their customers interest in the money in their savings accounts?
The bank charged interest when it loaned that money to someone else. So in return, the banks pay their customers interest on the money they borrowed from their savings accounts.
Why do banks pay their customers interest on the money in their savings accounts?
The bank charged interest when it loaned that money to someone else. So in return, the banks pay their customers interest on the money they borrowed from their savings accounts.
What banks pay to their savings account customers?
Interest
How can banks afford to pay interest on their customers savings account deposits?
The bank does not just hold on to the money you retain in your savings account. Instead, they offer loans to other customers using that money. The loan customers pay an interest to the bank and the bank in turns offers the savings account holders an interest. Since banks make money by lending our money, they offer us an interest.
How banks afford to pay interest on their customers' savings account deposits?
They loan out the money in their customers' accounts and charge a higher interest rate on the loans.
Why do banks pay their customer interest on the money in their savings account?
The bank charged interest when it loaned that money to someone else. So in return, the banks pay their customers interest on the money they borrowed from their savings accounts.
Has the RBI de-regulated Savings Account Interest rates?
Yes. banks can essentially set the rate of interest they choose to pay for money held in savings accounts to their customers
What is the rate of interest in savings account?
In India as of November 2011, the interest rates are 4% or above. banks can essentially set the rate of interest they choose to pay for money held in savings accounts to their customers
Why do banks pay their customers interest in the money in their savings accounts?
The bank charged interest when it loaned that money to someone else. So in return, the banks pay their customers interest on the money they borrowed from their savings accounts.
Why do banks pay their customers interest on the money in their savings accounts?
The bank charged interest when it loaned that money to someone else. So in return, the banks pay their customers interest on the money they borrowed from their savings accounts.
What is the Features of saving account?
Some features of a savings account include, the ability to draw interest, overdraft protection and the requirement for minimum deposits. Most banks offer savings deposits for their customers.
What do banks pay to their savings account customer?
Interest
What do banks pay at to their savings account customers?
Interest. Apex. The interest rate is a certain percentage of how much you have in the savings account that the bank will pay you annually. I highly suggest watching Graham Stephan on YouTube to learn about the best high interest savings accounts so you can make money for saving!
Do all banks have savings accounts?
A Savings Bank Account is the basic type of bank account where customers can park or save their surplus cash. The money in the account is extremely liquid and can be withdrawn by the customer anytime they want. As a result, the interest rate provided by the banks on such accounts is also very less. In india the savings account interest rate is 4%. Banks may also give you cheque books and ATM/Debit cards to operate your bank account. Yes - almost all banks have savings accounts.
