1. What is ICICI Bank Savings Account Interest Calculation?

The ICICI Bank savings account interest calculation determines the monthly interest earned on your savings balance based on the bank's annual interest rate and your average monthly balance.

2. How Does the Calculator Work?

The calculator uses the ICICI Bank interest formula:

Where:

• \( Average\ Balance \) — Monthly average balance in INR
• \( r \) — Annual interest rate percentage

Explanation: The formula calculates monthly interest by converting the annual rate to a monthly rate and applying it to your average balance.

3. Importance of Interest Calculation

Details: Understanding how interest is calculated helps you maximize your savings returns and make informed decisions about your banking relationships.

4. Using the Calculator

Tips: Enter your average monthly balance in INR and the annual interest rate percentage. Both values must be positive numbers.

5. Frequently Asked Questions (FAQ)

Q1: How often is interest credited in ICICI savings accounts?
A: ICICI Bank typically credits interest quarterly to savings accounts.

Q2: What is the current interest rate for ICICI savings accounts?
A: Interest rates vary and are subject to change. Please check ICICI Bank's official website for current rates.

Q3: Is the interest calculated on daily or monthly balance?
A: Most banks calculate interest on daily balances, but this calculator uses monthly average balance for simplification.

Q4: Are there any minimum balance requirements?
A: Yes, ICICI Bank has minimum balance requirements that vary by account type. Maintaining the minimum balance avoids penalty charges.

Q5: Is the interest earned taxable?
A: Yes, interest earned on savings accounts is taxable income under Indian tax laws, though certain exemptions may apply.