Have Rs 50 lakh in savings? Check Canara Bank’s new interest rate and what SBI, PNB, BoB offer

Canara Bank has revised its savings account interest rates from September 5, 2026, but customers with balances of Rs 50 lakh will continue to earn 2.50% annually. Here is how the rate compares with SBI, Punjab National Bank (PNB) and Bank of Baroda (BoB).

Canara Bank savings account rate

According to Canara Bank’s latest rate structure, domestic, NRE and NRO savings accounts now offer interest rates ranging from 2.50% to 4% per annum, depending on the account balance.

For a balance of Rs 50 lakh, the applicable rate is 2.50% per annum. The same 2.50% rate applies to balances from Rs 50 lakh to below Rs 5 crore, as well as several higher slabs up to below Rs 100 crore.

At 2.50%, a Rs 50 lakh balance would earn approximately Rs 1.25 lakh in annual interest, before applicable taxes and assuming the balance remains unchanged.

The rate starts increasing only for substantially larger balances. Canara Bank offers 2.65% on balances of Rs 100 crore to below Rs 300 crore, 3.10% from Rs 300 crore to below Rs 500 crore, and up to 4% for balances of Rs 2,000 crore and above.

How SBI compares

State Bank of India (SBI) offers 2.50% per annum on all savings account balances, according to the rate information cited in the comparison.

Therefore, a customer maintaining Rs 50 lakh with SBI would earn approximately Rs 1.25 lakh a year, assuming the balance remains constant.

This means there is no interest-rate advantage for a Rs 50 lakh depositor between SBI and Canara Bank based on the rates provided.

What PNB offers

Punjab National Bank (PNB) also offers 2.50% on savings fund account balances up to Rs 100 crore.

For balances above Rs 100 crore, its rates rise to 2.70%, 3.60%, 3.75% and 4.25% across higher slabs.

For someone with Rs 50 lakh, however, PNB's applicable rate is again 2.50%, matching Canara Bank and SBI.

Bank of Baroda rate

Bank of Baroda offers 2.50% on outstanding savings balances of Rs 1 lakh to below Rs 50 crore.

Hence, a Rs 50 lakh balance would also attract 2.50% interest at BoB, equivalent to the rate offered by Canara Bank, SBI and PNB for this balance.

What should Rs 50 lakh depositors know?

For customers with Rs 50 lakh, the comparison is straightforward: all four banks—Canara Bank, SBI, PNB and BoB—offer 2.50% per annum under the cited savings-rate structures.

The bigger differences emerge only at very high deposit levels. Canara Bank's maximum advertised rate of 4% applies to balances of Rs 2,000 crore and above, meaning the headline rate is unlikely to affect ordinary retail savers.