1 month ago
RBI Tightens Bulk Deposit Rate Transparency, Allows LCR Pricing
The Reserve Bank of India said banks must show the interest rates they offer on deposits, including big bulk deposits, on their websites every day before 10 AM.
Banks can still charge different rates for these big deposits if they use a rule called the Liquidity Coverage Ratio, which looks at how much money the bank might lose if people withdraw a lot.
These rules start on October 1, 2026.
The change comes after a big bank, HDFC Bank, was questioned about how it priced bulk deposits for a road company.
The new rules help people see what rates banks are offering and make sure banks are fair to all customers.
RBI amends deposit interest rate guidelines to require uniform rates across branches and customers.
Banks must publish all deposit rates, including bulk deposits, on their websites before 10 AM daily.
Bulk deposit rates can be differentiated based on LCR run‑off rates, allowing liquidity‑linked pricing.
The new rules take effect on October 1 2026, following the RBI’s Second Amendment Directions, 2026.
The move follows scrutiny of HDFC Bank’s bulk deposit pricing in the MSRDC case.
- Who
- Reserve Bank of India
- What
- Amended deposit interest rate guidelines to require daily disclosure of bulk deposit rates and allow LCR‑linked pricing
- Where
- India
- When
- Effective from October 1, 2026
- Why
- To increase transparency, fairness, and allow banks to reflect liquidity costs
Key facts
- Effective Date
- October 1, 2026
- Regulatory Body
- Reserve Bank of India
- Key Change
- Daily publication of bulk deposit rates by 10 AM
- Pricing Flexibility
- LCR run‑off rate based differential pricing allowed
- Related Case
- HDFC Bank MSRDC bulk deposit pricing scrutiny
Quotes
Atanu Chakraborty
Former part‑time chairman of HDFC Bank
“"Certain happenings and practices within the bank are not in congruence with my personal values and ethics"”
indianexpress.com
Sources
Related news
RBI’s New Bulk FD Rules Bring Changes From October 2026
Capital SFB CEO on new RBI fixed deposit pricing rules
RBI to standardize lending rate rules for transparency, consumer protection
RBI proposes uniform loan interest rate framework across banks, NBFCs
India Draws Record $127 Billion Through Special FCNR Window
Major Banks Cut FCNR Deposit Rates After Subsidy Ends
Uber Driver Returns ₹37,000 Sent by Mistake, Refuses Reward
ICICI Bank Nears HDFC Bank as Nifty’s Top Influence
Brokerages Suggest HDFC Bank, PB Fintech, Parag Milk Foods
