If you are looking for interest rates Nigerian banks pay to savings accounts, you will get the information right here. Knowing the interest rate paid by each bank on savings account, will help you decide which bank to open a savings account to get a better return on your savings. In choosing a bank to operate a savings account, you should not only consider high interest rates. Also consider other important factors such as service delivery (customer service), security, convenience, minimum opening balance, banking technology, automated savings, documentation (opening requirements).
The rates which some of these banks give out loans to businesses and other borrowers determine the interest rates they pay to depositors.
Here we have compiled interest rates offered to savings accounts by all Nigerian banks. According to information released by CBN, these rates are as of 2023. In March 2024, CBN raised minimum loan interest rates to 24.75%. It's also expected that banks will will increase interest rates they offer to savings account holders.
List of Nigerian Banks and Interest Rates They Pay to Savings Accounts
Access Bank: 4.95%
Citibank: 4.95%
EcoBank: 4.95%
FCMB: 1.15%
Fidelity Bank: 4.95%
First Bank: 4.20%
Globus Bank Ltd: 1.40%
Guarantee Trust Bank: 4.93%
Heritage Bank: 4.95%
Keystone Bank: 4.65%
Polaris Bank: 4.95%
Premium Trust Bank: 4.95%
Providus Bank: 4.20%
Stanbic IBTC: 1.65%
Standard Chartered Bank: 5.24%
Sterling Bank: 4.95%
Titan Trust Bank: 4.95%
UBA: 4.20%
Union Bank: 4.95%
Unity Bank: 4.95%
Wema Bank: 4.95%
Zenith Bank: 4.95%
What's Savings Account?
A savings account is a deposit account held by individuals at a bank or other financial institutions that yields interest. As the name implies, it’s used to keep money you want available for short-term needs.
Banks pay interest to such account as the give out the savings as loan to borrowers. A savings account holder is not expected to call for his money on a regular, although the advent of Fintech has made it easy depositors to have unfiltered access to the funds in their savings accounts. And for this, may people no longer receive interest on their accounts. Being able to access deposited funds at will has made savings account better option than fixed deposit
Requirements to Open Savings Account
Requirements, in terms of documentation, to open savings account in Nigeria are almost the same for all the banks. What differs is using the minimum account opening balance. Some banks require higher opening balance than the others. While some others operate zero opening balance.
The required information to open a savings account in Nigerian banks include:
- Passport photograph
- Means of identification: Any ID issued by the government such as Nigerian passport, Driver's license, National Identity Card, Voter's Card
- National Identity Number (NIN)
- Bank Verification Number (BVN): You will be required to provide your BVN, where you don't yet, you will have to do it in the bank.
- Means of Address Verification: A proof that you reside in the address you provided. Means of Address Verification include utilities bill such as NEPA bill, house rent receipt etc.