12 hours Ago By [email protected] (Sagarika Chakraborty)
Updated April 15th 2025, 17:27 IST In a decision following the Reserve Bank of India's (RBI) 50 basis points cut in repo rate, major banks have also cut their lending and deposit rates in 2025. In a decision following the Reserve Bank of India's ( RBI ) 50 basis points cut in repo rate, major banks have also cut their lending and deposit rates in 2025. What Do Experts Say? According to Vivek Iyer, Partner, Grant Thornton Bharat more and more banks are supposed to join into the trend of reducing interest rates.
He said, “With the reduction in repo rates, interest rates have been reduced by Banks both on the lending portfolio side and the deposit side, so that the rate cuts are passed on to the customers for effective monetary transmission which is the need of the hour today, to revive economic growth given the uncertain economic scenario globally and it’s second order effects on the country.” Which Banks Have Cut Interest Rate? The following banks have cut their interest rates: HDFC Bank: The largest private sector lender HDFC Bank cut its deposit interest rates by 25 basis points, wherein a basis point is one-hundredth of a percentage. The bank announced that savings deposits for accounts with a balance lower than Rs 50 lakh will accrue 2.
75% and above Rs 50 lakh will accrue 3.25% effective April 12, 2025. The bank is changing its interest rates for the first time in about 3 years, when the corresponding rates were 3% and 3.
5%. SBI Bank: SBI has cut its fixed deposit (FD) interest rates for senior citizens. Interest rates for FDs that mature between one and three years will now be 20 basis points (bps) collectively.
FDs with tenure between one and two years will now yield 7.2% from 7.3% and those between two and three-year tenures will now charge an interest rate of 7.
4% from 7.5%, effective April 15, 2025, SBI said in a notification on its website. Bank of India: The Bank of India reduced its FD interest rates for an amount of less than Rs 3 crore and is now offering 4.
25% for the deposits that mature between 91 days and 179 days. For 180 days to less than one-year deposits, a rate of 5.75% is given.
Deposits that are made for one year would get an interest rate of 7.05% while those above 1 year up to 2 years would get 6.75%.
Deposits in the bracket of Rs 3 crore to less than Rs 10 crore, the bank will offer 5.75% for the funds maturing between 91 days and 179 days, an interest rate of 6.25% is being offered for 180 days to up to 210 days deposit ad 6.
50% for deposits of 211 days to less than a year, the lender said in a statement. Also Read: OpenAI CEO Sam Altman Gives Shoutout To This Indian Startup, Buys Crib Priced At $1,999 Published April 15th 2025, 17:19 IST.
