FD interest rates: SBI, Axis Bank cut rates; HDFC Bank, PNB, ICICI keep steady

SUMMARY

State Bank of India and Axis Bank have reduced interest rates in fixed deposits in January for FDs below Rs 2 crore. India’s largest lender SBI has cut FD rates by up to 15 basis points in line with a fall in its lending rates. FDs are one of the many popular instruments for long-term savings and tax-saving purpose, mainly due to the safety of money and guaranteed returns. Here are the latest interest rates on fixed deposits of less than Rs 2 crore offered by SBI, Axis Bank, Punjab National Bank and HDFC Bank.

By CNBC-TV18Jan 13, 2020 12:17:11 PM IST (Published)

SBI revised interest rates on FDs, effective January 10. According to the revised rates, FDs for less than Rs 2 crore and with the tenor of 180 days to 210 days will have an interest rate of 5.8 percent and, for senior citizens, 6.3 percent. For the tenor of 5 years to up to 10 years, SBI offers FD rates of 6.10 percent and, for senior citizens, 6.60 percent.

Axis Bank reduced interest rates by up to 20 bps from January 9. FDs for less than Rs 2 crore and with the tenor of less than 1 year will give interest at the rate of 6.40 percent and, for senior citizens, 6.65 percent. For the tenor of 5 years to up to 10 years, Axis Bank offers FD rates of 6.50 percent and, for senior citizens, 7 percent.

Punjab National Bank: Effective December 1, FDs for less than Rs 2 crore and the tenor of 271 days to below 1 year will earn an interest of 6 percent and, for senior citizens, 6.5 percent. For the tenor of 5 years to up to 10 years, PNB has FD rates of 6.3 percent and, for senior citizens, 6.8 percent.

HDFC Bank last revised fixed-deposit interest rates on November 16. According to the website, FDs for less than Rs 2 crore and with the tenor of 6 months to 9 months attract an interest rate of 5.8 percent and, for senior citizens, 6.3 percent. For the tenor of 5 years to up to 10 years, HDFC Bank offers FD rates of 6.3 percent and, for senior citizens, 6.8 percent.

ICICI Bank: Effective December 7, FDs for less than Rs 2 crore and the tenor of 185 days to 289 days will earn interest of 5.75 percent and, for senior citizens, 6.25 percent. For the tenor of 5 years to up to 10 years, ICICI Bank offers FD rates of 6.40 percent, and 6.9 percent for senior citizens. The bank revised its interest rates on November 12.