FD Rules Change From October 1: RBI Revises Fixed Deposit Norms | What Depositors Need To Know

FD Rules Change: The Reserve Bank of India (RBI) has revised rules related to the fixed deposit facility by commercial banks, small finance banks, regional rural banks, payment banks, local area banks and urban cooperative banks.

Here are the details of the new RBI FD rules, set to take effect from October 1, 2026.

RBI New FD Rule

The new FD rules will be implemented to improve transparency for depositors while giving banks greater flexibility in pricing bulk deposits.

Uniform FD Rates Across Bank Branches

Banks will no longer be allowed to offer different interest rates on similar deposits accepted on the same day merely because they were opened at different branches.

The interest rate on bulk deposits must remain uniform across all branches for deposits of the same amount accepted on the same date.

Fixed Deposits By Small Finance Banks

SFBs would require to disclose FD rates before offering deposits under the revised framework. SFBs will have to publish their deposit interest rate schedules in advance. The interest paid on regular and bulk deposits must be in accordance with the rates displayed on the bank's websites.

SFBs are required to release all the interest rates on their websites every business day at 10 am for bulk deposits. A 10 minute grace period would allow updates until 10:10 am.

Different Interest Rates On Bulk Deposits

While the RBI has ensured uniformity across regular deposits, SFBs can offer different interest rates on bulk deposits. The difference in FD rates can be based on factors like deposit stability and liquidity requirements under the RBI's regulatory framework.

The new FD rules will be implemented to bring greater clarity, transparency, consistency and fairness for depositors investing in fixed deposits offered by prominent SFBs across the country.

SFBs would require to disclose FD rates before offering deposits under the revised framework. SFBs will have to publish their deposit interest rate schedules in advance. The interest paid on regular and bulk deposits must be in accordance with the rates displayed on the bank's websites.

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