SBI Hikes Fixed Deposit (FD) Rates By Up To 75 Bps Effective From Today; Check New Interest Rates

The nation's largest financial institution, State Bank of India (SBI), surprised debt investors by raising interest rates on fixed deposits (FDs) of less than Rs 2 Cr. Retail customers holding tenors ranging from 46 days to less than a year will see rate hikes from the bank of 25 bps to 75 bps. After the modification, elderly people can receive a maximum return of 7.50% on a chosen tenure, while the general public can earn as much as 7.00%. According to SBI's official website, the revised FD rates take effect on May 15, 2024.

SBI FD Rates

The bank will keep paying 3.50% interest on fixed deposits maturing in 7 to 45 days, while SBI raised interest rates by 75 basis points, from 4.75% to 5.50%, on deposits maturing in 46 to 179 days. The bank increased interest rates by 25 basis points from 6.00% to 6.25% on a fixed deposit period of 211 days to less than a year, while SBI increased interest rates by 25 basis points from 5.75% to 6% on a deposit tenure of 180 days to 210 days.

Deposits that mature in one year to less than two years will still earn a 6.80% interest rate, while those that mature in two years to less than three years continue to receive a 7% interest rate. On fixed deposits maturing in a longer period of 3 years to less than 5 years tenure, SBI will continue to pay an interest rate of 6.75% while on those maturing in 5 years and up to 10 years, SBI is now promising an interest rate of 6.50%.

"The specific tenor scheme of "400 days" (Amrit Kalash) at Rate of Interest of 7.10 % w.e.f. 12- April- 2023. Senior Citizens are eligible for rate of interest of 7.60%. The Scheme will be valid till 30-September-2024," mentioned SBI on its official website.

"SBI GREEN RUPEE TERM DEPOSIT is available for three specific tenors of 1111, 1777 & 2222 days, at 10 bps below Card Rate for Retail deposits," SBI has said on its website.

SBI also offers a special term deposit scheme named "SBI WECARE' for senior citizens. The scheme was launched on 12.05.2020 and after multiple extensions, SBI WeCare FD is finally valid up to 30.09.2024. It is a term deposit scheme which comes with a minimum tenure of 5 years and a maximum of 10 years of maturity period. The scheme allows an additional premium of 50 bps (over and above the existing premium of 50 bps) for senior citizens over the card rate for the general public i.e., 100 bps over the card rate for the public. On 5 to 10 years of tenure, non-senior citizens will get an interest rate of 6.50% but SBI WECARE FD allows senior citizens to get a 7.50% return on the same tenure which is 100 bps higher than the standard rates for them. The payment of interest will be at monthly/ quarterly intervals and the scheme is available on fresh deposits and renewal of maturing deposits if booked via bank branch/ INB/ YONO channels.

Recently on 13th May, SBI announced that it has become the first bank to become a Trading cum Clearing (TCM) Member at India International Bullion Exchange. India International Bullion Exchange (IIBX) is India's first bullion exchange established in IFSC Gift City, as per a stock exchange filing.