IDFC First Bank Revises Savings Account Interest Rates Effective January 9

As per CNBCTV18 news report, IDFC First Bank has announced a revision in its savings account interest rates across various deposit slabs, effective January 9, 2026.  

The changes impact both domestic and non-resident accounts, including NRE and NRO categories, reflecting a realignment of deposit pricing. 

New Interest Rate Slabs and Key Reductions 

Under the updated structure, balances up to ₹1 lakh will continue earning 3% per annum. Deposits above ₹1 lakh and up to ₹10 lakh will now receive 5%, replacing previously higher rates offered in this segment.  

The peak savings account interest rate is now capped at 6.5%, applicable on balances above ₹10 lakh and up to ₹10 crore. Previously, balances in this band earned rates as high as 7%. 

Large ticket balances have seen minor to no revisions. Deposits above ₹10 crore and up to ₹25 crore will earn 6%, while those between ₹25 crore and ₹100 crore will receive 5%. Amounts more than ₹100 crore remain unchanged at an interest rate of 4%. 

Progressive Interest Calculation and Monthly Credit 

IDFC First Bank will continue utilising the progressive method for interest computation. This implies that different portions of a savings balance will earn corresponding rates as per their applicable slab instead of a flat rate on the entire amount. 

Interest earnings on these savings account deposits will be credited on a monthly basis, as per the bank’s existing practice. 

Read More: Small Savings Rates For January - March 2026: PPF, NSC, SCSS, SSY And More! 

Reduction Compared to Earlier Structure 

Earlier, the bank was offering 7% on balances above ₹5 lakh and up to ₹5 crore, whereas those between ₹5 crore and ₹10 crore earned up to 6.75%.  

The fresh revision marks a drop of up to 200 basis points in specific slabs, especially in the mid-range deposit categories. 

IDFC First Bank Share Price Performance  

As of January 08, 2026, at 11:43 AM, IDFC First Bank share price on NSE was trading at ₹86.05 up by 1.95% from the previous closing price. 

Conclusion 

IDFC First Bank has implemented a downward revision in savings account interest rates across several tiers. While the base rate remains steady at 3% for balances up to ₹1 lakh, mid to higher-tier depositors will see a reduction in interest earnings effective from January 9, 2026. 

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