The State Bank of India on Monday revised its Fixed Deposit (FD) interest rates hiking it by 5 basis points to 10 basis points, thus raising it from 0.05 per cent to 0.1 per cent. The new rates will be applicable starting from July 30.
With the revision of FDI rates, the bank is now offering an interest rate of 6.70 per cent on term deposits of 1 year to 2 years which is up from the existing rate of 6.65 per cent. Meanwhile, for deposits between a time period of 2-3 years, the rates have been hiked from 6.65 per cent to 6.75 per cent.
The bank in its revision has also hiked the interest rates for senior citizens which has gone up from 7.15 per cent to 7.20 per cent for a period of 1-2 years while that for 2-3 years it has been raised to 7.25 per cent from the existing 7.15 per cent.
The bank, however, slashed the interest rates on bulk term deposits of short tenures bringing it down to 6.70 per cent from 7 per cent on deposits of amounts ranging from Rs 1 crore to Rs 10 crore for a tenure of 1-2 years. For senior citizens for a similar amount in the same period of time the rates have been slashed from 7.50 per cent to 7.20 per cent.
The bank said on its website that the revised rates of interest shall be made applicable to fresh deposits and renewals of maturing deposits.