State Bank of India (SBI), India’s largest lender has hiked its fixed deposit (FD) interest rates, effective from 15th February 2023. SBI customers can now get up to 7 percent on their deposits and senior citizens can earn up to 7.5 percent.
Besides this, SBI has come up with a specific tenure scheme of 400 days, in which it is offering a 7.10 percent interest rate. This scheme is valid until 31st March 2023.
The lender has increased the rate of interest on fixed deposits maturing between one year to less than two years to 6.80 percent from 6.75% percent.
Likewise, it increased the interest rate on tenure of two years to less than three years to 7 percent, up from 6.75 percent. In addition, the interest rate on FDs maturing in three years to less than ten years has been raised from 6.25 percent to 6.50 percent.
SBI is also providing a special 'SBI Wecare' deposit for the senior citizens SBI's official website says that senior citizens can get an additional premium of 50 basis points (bps) over & above the existing 50 bps, i.e., 100 bps over the card rate for customers. This scheme is valid for retail deposits of five years and above tenor until 31st March 2023.
Leading banks are increasing FD interest rates in response to Reserve Bank of India’s recent hikes in the repo rate. Since May, RBI has hiked the repo rate by 250 basis points to 6.50 percent. The 1st hike was 40 bps in May and 2nd by 50 bps in June.
The 3rd hike in the repo rate was in August by 50 bps and then by 50 bps in September. With another hike of 35 bps in December and then in February by 25 bps, the total hike comes to 250 bps.
For more details visit your nearest SBI branch or its official website.
