The State Bank of India has slashed the interest rate on RD deposits for select tenures. The bank offers RD deposits for a term between 1 to 10 years. It is to be noted that for medium term deposits, the bank has retained the rate as it is. After the revision, the bank will offer maximum 5.8% return on its RD deposit that was earlier up to 6.25%.
|RD term||New interest rate||Previous rate|
|1 year to less than 2 years||6.4%||6.5%|
|2- 5 years||6.25%||6.25%|
On select tenures after the RBI's October monetary policy review, slashed FD rates as well as interest rate on savings account with with balance up to ₹1 lakh to 3.25%, from 3.5%. This will be effective from 1st November 2019.
The bank has also cut its marginal cost of funds based lending rate or MCLR by 10 basis points across all tenors effective 10th October.