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Canara Bank Savings Account: A Complete Guide

Canara Bank is an Indian Banking Institution that was formed on July 1, 1906, by Ammembal Subba Rao Pai. In the beginning, Canara Bank focused on the due diligence process of Indian Peasants and Farmers by providing loans against their agricultural products. It took years for Canara Bank to become a success. However, once it became a success story, it has been a vital financial institution for the Indian agricultural community.

Canara Bank is a premier Indian bank and a leader in the retail banking space, with a pan-India presence of 9,722 branches and over 12,000 ATMs in the states and union territories of India.

Recently, Canara Bank achieved the major feat of serving over 10.6 crore customers. Their focus right now is on providing increased banking services to existing customers and ensuring a hassle-free banking experience.

The Bank today has a wide base of customers – Business, Corporate, Farmers, and Rural customers spread across all the segments. It offers deposit accounts for individuals and corporate customers. Savings accounts for minors and students; insurance services; loans for individuals, corporates, and SMEs; credit cards and gold loans; wealth management services; foreign exchange products; and bullion exchange.

Canara Bank Savings Account

Savings Account Interest Rate (Effective from October 21, 2022)

Canara Bank has a wide range of financial products and services to meet the needs of customers like individuals, small businesses and large corporates. The Bank's product range includes savings bank accounts, salary accounts, current accounts, fixed deposits, recurring deposits, online banking services, debit cards and credit cards. The following interest rates are available to the account holders:

Savings Account Balance (Minimum Amount required) Interest Rate (in %)
Up to Rs 50 lakh 2.9 %
Between Rs 50 lakh and Rs 10 crore 2.9 %
Between Rs 10 crore and 100 crore 3.05%
Between Rs 100 crore and Rs 300 crore 3.10%
Between Rs 300 crore and Rs 500 crore 3.10%
Between Rs 500 crore and Rs 1000 crore 3.40%
Between Rs 1000 crore and Rs 2000 crore 3.55%
Greater than Rs 2000 crore 4.00 %

Canara Bank Savings Account- An Overview

To open a savings account at Canara Bank, you need to fill up a form available on the Bank's website. The form is divided into three parts: general information, account details and signature.

A few other documents are required to open a savings account in Canara Bank as well. These include Aadhaar card and PAN card copies, photographs and signatures of the applicant in the original. You will also have to submit photocopies of these documents along with your application form.

Opening an account is possible through two modes- online or offline, depending on your preference. When opening an account online, you need to provide your personal details like phone number and email address etc.

After completing all formalities online, you will receive an OTP from your registered mobile number, which has been provided during the registration process. This OTP is required to finalise the process successfully.

When opening an account offline, you need to fill up a physical application form which includes all the required details about yourself along with the signatures of two witnesses who are present there at that time. Then submit it at any branch of Canara Bank or its authorised branches or sub-agents as mentioned on their website.

Important Documents required to open a Canara Bank Savings Account

Canara bank savings account opening online requires you to submit certain documents at your local branch office or through an online banking facility. For opening a savings account at any branch of Canara Bank, all you need is proof that you are an Indian citizen; if you are not an Indian citizen, then there are some additional requirements like a residence proof document etc., depending on your case scenario:

  1. Identification proof- Photo ID card (driving license), PAN Card, Passport, Voter ID card or Aadhaar card
  2. Address proof- Utility bill or letter from employer on their letterhead or any other government-approved document
  3. Two passport-size photographs
  4. The individual must be of 18 years of age and, accordingly, carry a document with the authorised signature.

Step-wise instructions for opening the Canara Bank Savings Account

The Canara Bank Savings Account is a savings account that can be started by anyone who has attained the age of 18 years or more. You can avail of the benefit of opening this account if you are a resident Indian citizen or NRI (Non-resident Indian). The minimum amount required to open the Canara Bank savings account depends upon the type of account being opened.

Step 1: Visit any of Canara Bank's branches or go to their website and fill in an application form.

Step 2: Present your photo ID proof, like a PAN card or Aadhaar Card, address proof and identity proof at the bank branch. Make sure that you have all the documents ready with you so that you don't face any problems while opening an account.

Step 3: You will be asked to fill out a few basic details, like name, date of birth, gender, etc., on the application form. Once you fill these details out, provide your signature at the bottom of the form.

Step 4: You will then be asked to present some documents, such as proof of residence and proof of identity, at the bank branch.

Step 5: After checking all your documents for authenticity and correctness, you will be handed over a passbook for your savings account with the leaves of the chequebook attached to the welcome kit.

Different Types of Canara Bank Savings Accounts

Canara Bank provides a range of savings accounts, including a basic savings account and a senior citizen savings account. The Bank also provides an overdraft facility on the savings account. There is a range of savings accounts with varying features and Canara Bank savings account interest rates. The Bank also offers different types of recurring deposits (RD) under which you can deposit a fixed amount every month, fortnight or week.

Here's a look at the various savings accounts available at Canara Bank:

1. Canara Bank Savings Account (with/without chequebook facility)

Canara Bank's basic savings account is a no-frills product in which you can deposit money in your account and withdraw it whenever required. You can easily make unlimited withdrawals at any Canara Bank branch and ATM. You are also allowed to make one electronic fund transfer (EFT) per month using the net banking facility.

The minimum amount required to be maintained on a monthly basis varies between rural and urban accounts. For the latter, the average monthly balance is Rs 500, while for the former, the average monthly balance is Rs 1000.

2. Canara Bank Payroll Savings Account

The Canara Bank payroll savings account is an online savings account that aids you in earning interest on your savings. This account is ideal for people who want to earn interest on their hard-earned money without having to deal with any formality or paperwork.

The Canara bank payroll savings account is unique because it offers a quarterly interest rate with other special features. The Canara bank savings account minimum balance requirement is Rs 1000, and the non-maintenance charges levied are Rs 100 or any other conditions that would affect your earnings.

This means that if you have a salary account in Canara Bank, you can start off with a payroll savings account with them and earn interest on all your deposits into this account.

The only condition is that you should have an active salary account in Canara Bank. If you do not have an active salary account, then it would be better if you opened one before trying to open a payroll savings account.

Complimentary services include the locker facility, bank transfers, and customisable chequebooks. You can avail of the demand draft facility, which is directly related to the total amount credited as salary in your payroll account in the previous month.

3. Canara Bank Basic Savings Bank Deposit Account

Canara bank has introduced a basic savings bank deposit account, which is a savings account that requires a minimum balance of Rs. 1000 and no transaction charges. The interest rate on this account is fixed at 4% per annum. The account can be started only in the name of an individual or HUF and is available only in select branches.

This basic savings account is perfect for those who have a very small amount of money to save and do not have any transactions that need to be made from their account.

The opening balance of this account is Rs 1000, and it has no minimum balance requirement. You can start this account in any branch of Canara bank across India by visiting your nearest branch or through their online portal.

4. Canara Bank Small Savings Bank Deposit Account

Canara Bank Small Savings Bank Deposit Account is a savings account that helps you earn interest on your savings. It is a good way to start saving and building your financial resources.

It's basically for individuals who are unable to furnish all the documents for the KYC verification. A small savings account can be started by any citizen above 18 years of age.

5. Canara Bank NSIGSE (National Scheme of Incentives to Girls for Secondary Education) Savings Account

The Canara Bank NSIGSE (National Scheme of Incentives to Girls for Secondary Education) Savings Account is specially designed to promote the education of girl children, especially from socially backward communities like the Scheduled Caste and Scheduled Tribes.

The National Scheme of Incentives to Girls for Secondary Education (NSIGSE) is a new scheme launched by Canara Bank to encourage girls to continue with their education.

Special features include:

1) Interest rate of 3% on deposits up to Rs 1 lakh per month.

2) Free ATM transactions in any Canara Bank ATM.

3) Free mobile banking services.

4) The minimum amount required for starting the account is Rs 1,000.

5) No chequebooks are given, and money is withdrawn via slips.

6) There are no non-maintenance charges levied when the bank account is not in use.

6. Canara Bank Junior Savings Account

The Canara bank Junior savings account is a great way to teach your kids about the importance of saving money. It's a great way for them to learn how to manage their money as well as understand the concept of interest rates.

The best part about this account is that it can be maintained even with a very small balance, as low as Rs 1000. The other good thing about this account is that it doesn't have any minimum balance requirements or charges for not maintaining the minimum balance in the account.

The maximum amount of transactions which can be withdrawn from the account is capped at a limit of Rs 5000. Opening this type of savings bank account requires a signed undertaking by the parent to ensure that the account isn't misused.

A customisable debit card is available for junior account holders, which is specifically created keeping in mind children and their needs. The contact details provided are of the parent to ensure that the notifications and updates are received on the contact number so that they stay informed about the account proceedings.

7. Canara Bank Jeevandhara Account for Senior Citizens

Canara Bank Jeevandhara account for senior citizens is a unique savings account that offers attractive features like tax benefits and assured returns. This is a step towards encouraging senior citizens to save some money for their future needs.

You can avail of the benefits of this account if you’re any person above 60 years of age and have his/her Aadhaar Card linked to the account. It has the following features:

  • The account can sustain with nil balance, and the average balance which must be maintained is Rs 1000 according to the stipulated guidelines by the Bank.
  • The interest rate will be deposited in the savings account on a quarterly basis.
  • You will get a free debit card with no maintenance charges or charges for usage.
  • You can avail of the customisable chequebook facility.
  • The loan and locker facility can be taken depending on availability and priority.
  • Insurance coverage depends upon the type, which includes personal and accident, and is available only for pension account holders.
  • You can avail of the will assistance facility at the fulfilment of basic charges.

Wrapping Up

Canara Bank was started by a visionary and philanthropist with an aim to provide better banking services at more reasonable rates. The Bank has been immensely successful since it was set up, and the credit for this goes to the decades of dedicated service rendered by the team and the gamut of services offered.

Frequently Asked Questions (FAQs)

What are the important documents essential for starting the Canara bank savings account?

The following essential documents are required at the time of opening a new Canara Bank savings account:

  • Application form provided by Canara Bank
  • ID Proof- Passport or any Government Identity Card (Aadhaar Card, Voter ID Card etc.)
  • Address Proof- A utility bill (electricity/telephone bill) or bank statement showing the same address as mentioned on your ID proof
  • PAN Card
  • Photographs

What are the different types of savings accounts that are available in Canara Bank?

The following different types of savings accounts are present in Canara Bank:

  1. Canara bank Basic Savings Bank Deposit Account
  2. Canara Bank Payroll Savings Account
  3. Canara Bank NSIGSE (National Scheme of Incentives to Girls for Secondary Education) Savings Account
  4. Canara Bank Small Savings Bank Deposit Account
  5. Canara Bank Junior Savings Account
  6. Canara Bank Jeevandhara Account for senior citizens

What are the eligibility criteria for opening the Canara Bank savings account?

The eligibility criteria for opening this type of account are as follows:

  1. The customer should have reached the age of 18 years, according to Reserve Bank of India (RBI) guidelines.
  2. The customer should have an active mobile phone number linked to their bank account for receiving OTPs (one-time passwords) from Canara Bank.
  3. The customer should have a valid Aadhaar card or PAN card or any other identity document according to the RBI guidelines and also possess a minimum balance of Rs 1 lakh in his/her current accounts or savings accounts in Canara Bank at least once in the last six months immediately preceding the date of opening the savings account.

What are the different financial products and services that are offered by Canara Bank?

Canara bank is among India's largest private-sector banks. The Bank offers a wide range of banking products and services to its customers. It offers insurance, mutual funds, wealth management, and other financial products and services as well. The Bank also provides personal banking, corporate banking, agricultural loans, NRI services, investment banking and financial planning services.

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