India’s largest lender State Bank of India (SBI) has slashed interest rates on retail term deposits by up to 40 basis points (bps) across all tenors. This is the second reduction in fixed deposits interest rates in a month.
The new rates came into effect from May 27 (Wednesday), the bank mentioned on its website.
For deposits maturing in seven days to 45 days, the lender is offering an interest rate of 2.90 per cent as against 3.30 per cent earlier, according to the SBI website.
The revised rate for 180 days to 210 days bracket is 4.40 per cent compared to 4.80 per cent.
FDs maturing in one year to less than two years will now fetch an interest rate of 5.10 per cent as against 5.50 per cent.
The chart below gives detailed info in the revised interest rates for the general customers as well as for the elderly.
The bank also cut interest rates on deposits above Rs 2 crore by up to 50bps. The maximum rates offered in this category is 3 per cent.
Earlier SBI had reduced its deposit rates for up to 3 years tenor by 20bps on May 12.
In March, the lender had cut interest rate on FDs by 20-50 bps across tenors. This had come into effect from March 28, 2020. Again, this was the second reduction in the month of March. Before that, the bank had reduced the interest rates on March 10.