State Bank of India (SBI ), HDFC Bank, and other major Indian banks have raised their fixed deposit rates, keeping in line with the Reserve Bank of India ’s latest repo rate hike of 35 basis points (bps).
SBI has increased interest rates on certain fixed deposits (FDs) by up to 65 bps. The increase in interest rates ranges from 25 bps to 65 bps.
Fixed deposits up to Rs 2 crore will attract higher interest rates from December 13, 2022. SBI last increased the interest rates on retail term deposits of all maturities by up to 80 basis points on October 22, 2022.
Besides SBI, several other Indian banks have increased their FD rates.
HDFC Bank
Senior citizens are eligible for an additional interest of 50 bps besides the usual rates on deposits maturing in seven days to five years. With the new hike, seniors are eligible for FDs with interest rates ranging from 3.5 to 7.75 per cent on maturities between seven days and 10 years.
Senior Citizen Care FD, a unique fixed deposit offered by the HDFC Bank, has a five-year duration and one day to 10-year tenor. In addition to the current 0.50 per cent premium , senior citizens will receive a premium of 0.25 per cent. However, the scheme is available till March 31, 2023.
Kotak Mahindra Bank
Kotak & Mahindra Bank Ltd. has also increased its fixed deposit rates across various tenors. It will offer an interest rate of 7 per cent for tenors of 390 days or 12 months & 25 days, 391 days or less than 23 months and 23 months. The rates will come into effect on December 15, 2022.
Indian Overseas Bank
Indian Overseas Bank (IOB) has increased the interest rates on fixed deposits under Rs 2 crore. The new rates have come into effect from December 10, 2022. The bank raised the rates by as much as 20 bps on various tenors. The interest rates on deposits, maturing from seven days to three years and beyond, ranging from 3.75 per cent to 6.50 per cent
