India's biggest bank State Bank of India (SBI) has cut interest rates on fixed deposits or FDs, its second revision in one month. SBI today lowered FD rates by 10 basis points in select maturities. SBI also announced reduction in its MCLR by 10 bps across all tenors. "In view of the festival season and extending the benefits to customers across all segments, we have reduced our MCLR by 10 bps across all tenors," the bank said in a statement. The cut in FD rate follows a 25 bps reduction in repo rate by the Reserve Bank Of India (RBI) last week. The new rate of interest will come into effect from 10 October 2019.
For FDs maturing in 7 days to 45 days and 46 days to 179 days, the rate of interest remains unchanged at 4.50% and 5.50% respectively. For FDs maturing in 180 days to 210 days and 211 days to less than 1 year, SBI will continue to give 5.80% interest. SBI had earlier revised interest rates on fixed deposits on 10th September.
SBI latest FD interest rates (below ?2 crore) for general public effective 10 October
7 days to 45 days-4.50%
46 days to 179 days-5.50%
180 days to 210 days-5.80%
211 days to less than 1 year-5.8%
1 year to less than 2 year-6.4%
2 years to less than 3 years-6.25%
3 years to less than 5 years-6.25%
5 years and up to 10 years-6.25%
SBI has slashed the interest rate on deposits maturing in 1 year to less than 2 year. Now, with the latest rate cut by SBI, these FDs will fetch you an interest rate of 6.40%.
For FDs maturing in 2 years to 10 years, SBI will continue giving 6.25% interest.