Archive · 9 Jun 2025
Lock FDs Now Before Banks Cut Interest Rates
The Reserve Bank of India (RBI) reduced a key interest rate, leading to expectations that fixed deposit interest rates will decrease.
It is advisable for people to secure their savings in fixed deposits (FDs) before rates potentially fall further.
Banks like SBI and HDFC offer high-interest rates on FDs, with SBI offering up to 6.7% and HDFC offering up to 6.85% depending on the deposit duration.
RBI cut the repo rate for the third consecutive time, prompting banks to lower interest rates.
Fixed deposit (FD) interest rates are expected to decrease.
It is recommended to lock savings into FDs before rates fall further.
SBI offers a maximum interest rate of 6.7% on 2-3 year deposits.
HDFC Bank provides a maximum interest rate of 6.85% for 15-21 month FDs.
- Who
- Savers and various banks, including SBI, HDFC Bank, ICICI Bank, Union Bank of India, Bank of Baroda and Kotak Mahindra Bank, and RBI.
- What
- Banks are expected to lower fixed deposit (FD) interest rates.
- When
- The article discusses rates effective as of May 16 and May 23, 2025 and onwards.
- Where
- India
- Why
- Due to the RBI's repo rate cut.
- Repo Rate
- 5.50%
- SBI Interest Rate Effective Date
- May 16, 2025
- SBI Max. Interest Rate
- 6.7%
- HDFC Max. Interest Tenure
- 15-21 months
- HDFC Bank Interest Rate Effective Date
- May 23, 2025
- HDFC Max. Interest Rate
- 6.85%
- Union Bank Max. Interest Rate
- 7.15%
Sources
Are you ready to benefit from the repo rate cuts? Adhil Shetty shows the way to borrowers - Telegraph India
Bank Nifty Hits Record High Of 57,000 As RBI’s Repo, CRR Cuts Lift Financials
RBI Cuts Repo Rate By 50 Bps: Which Banks Have Slashed Lending Rates?
Cut In Repo Rate: Know Why Booking FD On Wizely App Now Can Be Smart
Cut In Repo Rate: Know Why Booking FD On Wizely App Now Can Be Smart
PNB, Bank of India, UCO Bank slash lending rates after RBI repo cut
As RBI slashes rates, public sector banks lead in loan rate reductions