Good news for the SBI customers, particularly those looking to invest in bank fixed deposits (FDs) for a short to medium term. The State Bank of India, the nation’s largest bank, has again hiked the interest rates on retail term deposits below Rs 1 crore with effect from May 28, 2018, by up to 25 bps. However, the interest rates have been revised only on the FDs of a few select terms.
For example, term deposits of 1 year to less than 2 years will now fetch 6.65 per cent interest as against 6.40 per cent earlier, while term deposits of 2 years to less than 3 years will earn 6.65 per cent interest as against 6.60 per cent earlier. Similarly, for senior citizens, while term deposits of 1 year to less than 2 years will earn 7.15 per cent interest as against 6.90 per cent earlier, term deposits of 2 years to less than 3 years will fetch 7.15 per cent interest as against 7.10 per cent before.
Revision in Interest Rates On Retail Domestic Term Deposits (Below Rs 1 crore)
(All figures in % per annum)
It may be noted that last time term deposit rates were revised in March 2018, with effect from 28.03.2018. Besides, minor revisions had also been made in the interest rates on domestic bulk term deposits of Rs 1 crore to Rs 10 crore, and above Rs 10 crore.