SBI slashes fixed deposit interest rates.
Here are the revised FD rates
Country’s one of the largest lender, the State Bank of Indiahas lowered down the interest rates 25 basis points across most maturities, with effect from November 1, 2017.
The one-year SBI fixed deposit will now has an interest rate of 6.25% which earlier was 6.5%, mentioned the bank’s website.
According to the new rates, senior citizens will get 6.75% which was 7% earlier.
With State Bank of India cutting its fixed deposit rates, other banks are also expected to follow suit.
The country’s largest lender had also slashed benchmark lending rate by 0.05% across maturities.
The reduction in marginal cost of funds based lending rate (MCLR) came after a gap of almost 10 months. The bank had last cut the rate on January 1. The move by the SBI will trigger rate cut by other lenders. With the reduction, the MCLR for one year has come down to 7.95% from 8%, SBI website said. The new rate would be effective November 1, it said.
The MCLR on overnight borrowings has been reduced to 7.70% from 7.75%, while the lending rate for three-year tenure has been cut from 8.15% to 8.10%. Similarly, the bank reduced the lending rate by similar percentage point for tenures including one month, three months, six months and two years. Meanwhile another public sector lender Allahabad Bank also reduced the MCLR rate by 0.15% across all tenor.