Looking for higher savings returns? SBM Bank revises savings account rates -- who benefits most?

SBM Bank India has revamped its savings account interest rate structure, offering rates of up to 7% per annum for high-value deposits as it seeks to attract affluent and emerging affluent customers looking for better returns on liquid funds. The revised rates are aimed at strengthening the bank's retail banking franchise and expanding its low-cost deposit base.

Emerging affluent customers

The bank announced that it has introduced a revised slab-based savings account structure designed to help customers maximize returns while retaining complete liquidity. The move forms part of its broader strategy to cater to India’s rapidly growing emerging affluent segment, which the bank describes as one of the fastest-growing aspirational wealth cohorts in the country.

According to industry and wealth management reports cited by the bank, the emerging affluent segment expanded at nearly double the pace of the broader consumer landscape during 2025-26, creating significant opportunities for financial institutions offering attractive savings products and digital banking solutions.

New rates

Under the revised structure, SBM Bank India is offering higher interest rates across various balance slabs:

The revised rates are applicable to both resident and non-resident Indian customers and have been effective from May 1, 2026. The bank clarified that the savings interest rate applies on incremental balances and remains subject to applicable terms and conditions.

Better returns on liquid funds

SBM Bank India said the revised savings structure reflects changing customer preferences, particularly among affluent savers seeking higher returns on idle funds without sacrificing flexibility or liquidity.

Commenting on the development, Amol Rane, Head – Retail Distribution, SBM Bank India, said:

“Our intent is simple—to deliver a strong differentiated savings proposition for customers across the entire liquidity spectrum, along with focused acquisition and stable, granular growth. We see immense potential in the emerging affluent segment, which increasingly seeks smarter, more rewarding avenues to park liquid funds without sacrificing flexibility.”

He added that the bank aims to combine competitive savings rates with seamless digital capabilities and personalized banking services to support customers’ wealth creation goals.

Wealth and private banking clients

The lender also highlighted additional benefits available under its premium banking segments. According to the bank, customers under the SBM Wealth program receive lifestyle benefits linked to premium debit cards, while SBM Private customers gain access to exclusive investment opportunities and metal debit cards with curated privileges.

Rane further noted that while the revised structure enhances value for mid-tier balances, the bank continues to offer rates of up to 7% per annum for customers maintaining balances between ₹25 crore and ₹50 crore.

Expansion plans

SBM Bank India currently operates through 22 branches across major metropolitan cities and key growth centres in the country. Looking ahead, the bank plans to strengthen its CASA (Current Account Savings Account) franchise and expand lending capabilities as part of its FY2027 growth strategy.

With several banks competing for retail deposits amid changing interest rate dynamics, SBM Bank India's revised savings account offering is positioned to appeal to customers seeking a combination of liquidity, higher returns, digital convenience and personalized banking services