Canara Bank, one of India’s leading public sector banks, periodically revises its savings account interest rates to reflect prevailing financial conditions, regulatory guidelines, and competitive dynamics in the Indian banking sector.
This article provides a comprehensive overview of the latest interest rate structure on savings accounts offered by Canara Bank, key updates, implications for account holders, and what customers should consider.
Canara Bank is one of India’s leading public sector banks. It has a range of savings products for all.
Canara Bank Savings Account Interest Rates 2026
As of the most recent revisions, Canara Bank’s savings account interest rates are structured on a slab basis depending on the account balance.
The rates are credited on a daily balance basis and typically paid half-yearly (for example, in August and February).
The table below provides the Canara Bank interest rate for different slabs:
| Account Balance Range | Interest Rate (per annum) |
| Less than ₹50 lakh | 2.55% p.a. |
| ₹50 lakh to < ₹5 crore | 2.55% p.a. |
| ₹5 crore to < ₹10 crore | 2.55% p.a. |
| ₹10 crore to < ₹100 crore | 2.55% p.a. |
| ₹100 crore to < ₹200 crore | 2.65% p.a. |
| ₹200 crore to < ₹300 crore | 2.65% p.a. |
| ₹300 crore to < ₹500 crore | 3.10% p.a. |
| ₹500 crore to < ₹1,000 crore | 3.40% p.a. |
| ₹1,000 crore to < ₹2,000 crore | 3.55% p.a. |
| Above ₹2,000 crore | 4.00% p.a. |
Source: Canara Bank official website
Canara Bank Savings Account Key Features
1. Competitive Returns for Savings Balances
Canara Bank’s savings interest rate ranges from 2.55% p.a. to 4.00% p.a., which is generally aligned with or slightly higher than many other public sector banks in India.
2. Interest Rate Crediting
Interest on the savings account is calculated on the daily closing balance in the account and credited to the account typically in February and August each year.
3. Same Rates for Senior Citizens
Unlike some banks that offer higher savings rates for senior citizens, Canara Bank generally applies the same interest rate slabs to both senior citizens and regular customers.
4. Zero Minimum Balance Option
This means that you don’t need to maintain any minimum balance to open and also to keep your account in Canara Bank.
Types of Canara Bank Savings Account
Canara Bank has a range of savings accounts, which are as follows:
1. Savings Bank Account
Who is this for: General public
Key features:
- Unlimited withdrawals at Canara branches/ATMs
- 1 free online fund transfer/month
- Basic deposit/withdrawal flexibility
2. Small Savings Bank Deposit Account
Who is this for: Individuals with limited KYC access
Key Features:
- Max balance: ₹50,000
- Annual credit limit ₹1 lakh
- Designed for financial inclusion
- Interest-bearing savings
3. Basic Savings Bank Deposit Account
Who is this for: Entry-level customers
Key features:
- No cap on deposits
- Basic ATM/debit card provided
- Minimal documentation
- No-frills savings account
4. Jeevan Dhara SB Account
Who is this for: Senior citizens (60+ years)
Key features:
- Zero-balance facility
- Free debit card with no AMC
- Quarterly interest payout
- Locker/loan facilities
- Optional health insurance for pension holders
5. NSIGSE SB Deposit Account
Who is this for: SC/ST girl students or girls from Kasturba Gandhi Balika Vidyalayas
Key features:
- Encourages the education of girls from marginalised communities
- Account for those progressing from class VIII to IX in government/aided/local body schools
6. Canara SB Power Plus Account
Who is this for: High Net-Worth Individuals (HNIs)
Key features:
- Minimum AQB ₹1 lakh,
- Platinum debit card
- Free credit card (1st year)
- RTGS/NEFT/DD fee waivers
- Locker/demat/auto sweep/net banking
- Personalised cheques
7. Junior Savings Account
Who is this for: Children aged 10–18
Key features:
- Max balance ₹50,000
- ₹5,000 daily debit card withdrawal limit
- Parental control on transactions
- Early financial education tool
8. Payroll Package Savings Account
Who is this for: Salaried individuals (age 18–65)
Key features:
- Linked to salary credit
- Extra benefits based on credited salary
- Includes locker facility
- Free cheque leaves
- Waived DD charges
- Online banking features
Check the ICICI Bank Savings account Interest rate
Transaction Limit on Canara Bank Savings Account
Here is the transaction limit for different savings accounts in Canara Bank. -
| Savings Account Type | Transaction Limit |
| Small Savings Bank Deposit Account | ₹10,000 per month |
| Basic Savings Bank Deposit Account | Maximum 4 free withdrawals per month (₹5 per withdrawal exceeding the fee limit) |
| Jeevan Dhara Savings Account | Unlimited |
| Payroll Package Savings Account | Withdrawal limit - ₹1,00,000 per dayPOS limit - ₹5,00,000 per dayATM withdrawal limit - Free at Canara Bank ATMs, 3 in metro cities and 5 in non-metro cities per month at other bank ATMs |
| Canara Savings Bank Power Plus Account | Unlimited |
| NSIGSE Savings Bank Deposit Account | Unlimited |
| Junior Savings Account | ₹10,000 |
You can also save daily in digital gold on the Jar app. Start with ₹10 per day!
Key Benefits of Canara Bank Savings Account
- Safe and secure deposits with a government-owned bank
- Competitive interest rates credited quarterly
- Easy access through net banking, mobile banking, and ATMs
- Free or low-cost debit cards and cheque books
- Nationwide branch and ATM network
- Special benefits for salaried individuals, women, students, and senior citizens
Know the interest rate on the savings account in HDFC Bank
Frequently Asked Questions
What is the interest rate for 1 lakh in Canara Bank?
Interest on a savings account for 1 lakh is 2.55% p.a.
Does Canara Bank have a zero balance account?
Yes, Canara Bank has a zero-balance account, which means that you don’t need to maintain a minimum balance.
Is an ATM card free in Canara Bank?
As of January 2026, there is an annual fee of Rs 200 + GST for Classic cards, Rs 500+ GST for Platinum and Business Debit Cards, while the charge for RuPay Select Debit Card is Rs 1000 + GST.
