SBI FD Rates: State Bank of India (SBI) has given good news to crores of its customers by increasing the interest rate of fixed deposits. The new interest rate has been implemented by the bank from May 10.
SBI FD Rates: State Bank of India (SBI) has once again given good news to its crores of customers. If your account is also in SBI, then this news is of your use. The interest rate on Fixed Deposit (FD Interest Rates) has been increased once again by the bank. According to the updated information on the bank’s official website, SBI, the largest public sector bank, has increased the interest rate on deposits of Rs 2 crore and above.
New rates effective from May 10
The rates increased by the bank have become effective from Tuesday, May 10. However, the bank has not increased the interest rate on short term fixed deposits (7 to 45 days). 50 basis points interest has been increased by Banki on FDs maturing in 46 to 149 days. On the other hand, deposits of more than one year and less than two years have been increased by 40 basis points.
Highest interest on FDs of 5 to 10 years
The interest rate on deposits of more than two years and less than three years has been increased by 65 basis points. Similarly, the highest interest has been increased on FDs of three to five years and 5 to 10 years. Now customers will get 4.5 percent annual interest on FDs of both these periods. Earlier this interest rate was 3.6 percent.
Repo rate hiked by 40 basis points
After the sudden increase of 40 paise in the repo rate by the Reserve Bank of India (RBI), many banks have increased the interest rate. Let us tell you that last week RBI Governor Shaktikanta Das had suddenly announced to increase the repo rate from 4 percent to 4.40 percent.
Who will benefit
The interest rate benefit as revised by SBI will be applicable on renewals of both new FDs and matured FDs. Additional interest of 50 basis points is paid by the bank to the senior citizens at the rate of interest for each period. It is worth noting that SBI is giving 3% to 5.5% interest on FDs from 7 days to 10 years. Senior citizens are getting 3.5% to 6% annual interest on these deposits.
