Fixed Deposit Interest Rates have been increasing continuously since May 2022 due to continuous increases in Repo Rate by RBI to control inflation.
In the financial year 2022, since May, the repo rate has increased five times in a row.
The Reserve Bank of India (RBI) has increased the rate by 2.25 percent between May and December.
In the policy meeting of December, RBI increased the Repo Rate to 6.25 percent.
In November 2022, India’s retail inflation fell to 5.88 percent compared to 6.77 percent in October 2022, the lowest level since December last year.
Investors in fixed deposits have been buoyed by the steep rise in interest rates, boosted by the fifth straight hike in the repo rate.
Some economic analysts predict that RBI may announce another hike in February 2023.
However, some banks have extended the increase in interest rates for fixed deposits under Rs 2 crore in the first week of January 2023.
PNB
Punjab National Bank (PNB) announced an increase in interest rates on savings accounts and fixed deposits on January 1.
PNB increased the interest rate for the savings account by 25 basis points on the balance amount.
One hundred crores or more, while the Bank has increased the interest rate on Fixed Deposits by 50 basis points for a limit of maturity buckets.
Indian Overseas Bank
Indian Overseas Bank (IOB) announced an increase of 75 basis points on FDs of 7 to 90 days on January 1.
The Bank currently offers a maximum interest rate of 6.55 percent on FDs of 444 days.
Additional rates for senior and super senior citizens (80 years and above) remain at 0.50 percent and 0.75 percent, respectively.
Punjab And Sind Bank
The Punjab and Sind Bank announced the increase in the interest rate for FDs on January 1.
The Bank currently offers a 2.80 percent to 6.25 percent interest rate on FDs ranging from 7 days to 10 years, while Punjab and Sind Bank offers a maximum of 7 percent interest only for FDs of 601 days.
Bandhan bank
Bandhan Bank increased the interest rate on FDs on January 5, 2023. For deposits maturing in 7 days to 10 years,
the Bank currently offers interest rates ranging from 3% to 5.85% for non-senior citizens and 3.75% to 6.60% for senior citizens.
On FDs of 600 days (1 year, seven months, 22 days), the Bank offers a maximum interest rate of 7.50 percent for the general public and 8 percent for senior citizens.
Kotak Mahindra Bank
Kotak Mahindra Bank increased the interest rate on FDs by 50 bps on January 4, 2023.
At the same time, on FDs ranging from 390 days to less than two years, it offers a 7 percent interest rate to the general public and a maximum of 7.50 percent interest to senior citizens.
Karnataka Bank
Karnataka Bank’s new FD interest rates are effective from January 1, 2023. The Bank currently offers 5.25 percent to 5.80 percent interest rates on FDs ranging from 7 days to 10 years.
Karnataka Bank now offers a maximum interest rate of 7.30 percent to the general public and 7.70 percent to senior citizens on FDs of 555 days.
yes Bank
Yes, Bank changed the interest rate for FDs under Rs 2 crore on January 3, 2023.
For FDs ranging from 7 days to 120 months, the Bank now offers interest rates of 3.25 percent and 7 percent for the general public.
A 3.75 percent to 7.75 percent interest rate has been kept for senior citizens.
On special FDs of 30 months, Yes Bank is now offering a maximum interest rate of 7.50 percent for the general public and 8 percent for senior citizens.
