PSU Bank Introduces Special Monsoon FD Rate, Offers 7.25% For 400 Days; Check Latest FD Interest Rates Here

Public sector lender, Bank of India (BOI) has introduced a new fixed deposit tenure of 400 days which is called a Monsoon Deposit. The bank is offering a 7.25% interest rate on this special tenure, while revising rates of its other FD tenures for deposits less than Rs 2 crore, and also above Rs 2 crore to Rs 10 crore. The new FD rates have come into effect from July 28, 2023.

As per the Bank of India website, the lender has revised its fixed deposit rates across tenures.

Monsoon Deposits:

Under the Monsoon Deposits scheme, the bank is offering a 7.25% rate for 400 days on deposits below Rs 2 crore, while the rate is 7% on deposits from Rs 2 crore to Rs 10 crore.

FDs below Rs 2 crore:

Meanwhile, under FDs below Rs 2 crore, the bank is offering 6% on 1-year and above 1 year to less than 399 days tenure.

The rate is also 6% on 401 days to less than 2 Years tenure; and also on larger tenures from 5 years to 10 years.

Further, the bank is offering a 6.75% rate on 2 Years to less than 3 Years tenure; and a 6.50% rate on 3 Years to less than 5 Years.

On the shorter tenures, the rate is fixed at 3% from 7 days to 45 days maturities; while the rate would be 4.50% from 46 days to 179 days tenures. Also, the bank is offering a 5% rate on 180 days to 269 days, and 5.50% on 270 days to less than 1 year tenure.

FDs from Rs 2 crore to Rs 10 crore:

With effect from July 28, the bank is offering a 7% rate on tenures from 1 year to less than 2 years.

While the rate is lower at 4.5% on tenures from 2 years to 10 years.

Meanwhile, the rate of interest is also 4.5% on tenures from 7 days to 45 days; 4.75% on 46 days to 90 days; 5.25% on 91 days to 179 days; and 5.40% on tenures from 180 days to less than 1 year.

As per the website, the minimum deposit amount for the above maturities and bucket is Rs 10,000/- except for court orders/special deposit categories.

The bank advised to visit its nearest branches for the rate of interest on deposits of Rs 10 crore and above.

Under the premature withdrawal clause, the bank said, "no interest payable for NRE Term Deposits remained with the Bank for less than 12 Months & hence, No Penalty."

Also, there will be a NIL penalty on deposits of less than Rs 5 lakh that remain with the bank for 12 months and bove.

But the lender will levy a penalty of 1% on deposits of Rs 5 lakh and above that are withdrawn prematurely after completion of 12 months.