Punjab National Bank, Union Bank of India hike FD interest rates ahead of Diwali festivities
Since May, Reserve Bank of India raised its short-term lending rate for the third consecutive time and cumulatively increased the key interest rate by 190 basis points. Most banks have revised their fixed deposit rates in line with repo rate hikes.
- Oct 19, 2022,
- Updated Oct 19, 2022 8:44 PM IST
Most banks in India have revised their fixed deposit rates a couple of times after the Reserve Bank of India (RBI) started hiking its repo rate. Since May, Reserve Bank of India raised its short-term lending rate for the third consecutive time and cumulatively increased the key interest rate by 190 basis points. The RBI's Monetary Policy Committee (MPC) raised the key lending rate or the repo rate to 5.90 per cent on September 30, which is its highest since April 2019, in a bid to tame the rising inflation.
Punjab National Bank, Union Bank of India are the latest banks to revise their term deposit rates ahead of the festive season.
Here’s a quick look at the revised rates.
1. Punjab National Bank
The public sector bank has increased the interest rates on all fixed deposits under Rs 2 crore. The rates are effective from October 19, 2022. According to the bank's official website, the bank hiked the fixed deposit rates across a range of tenors by up to 50 bps. The maximum rates for general investors, senior citizens, and super senior citizens are 6.50 per cent, 7 per cent, and 7.30 per cent.
The bank has increased the interest rate by 50 bps from 3 per cent to 3.50 per cent for schemes maturing in 7 days to 45 days. For 46 to 90 day schemes, the revised interest rate is 3.75 per cent. Deposits maturing in 91 days to 179 days will have an interest rate of 4.50 per cent, which was 4 per cent before. For schemes of 180 days to 1 year, the revised rate is 5 per cent, which was earlier 4.50 per cent.
The public sector bank has hiked the interest rate by 20 bps from 5.50 per cent to 5.70 per cent on deposits maturing in 1 year to 404 days. The bank will offer 6.10 per cent for deposits maturing in 405 days.
For deposits of 406 to 599 days, the revised interest is 5.70 per cent. The bank will now provide a maximum interest rate of 6.50% on deposits maturing in 600 days.
For the next slab, between 601 days and two years, the interest rate will be 5.70 per cen. For 2 to 3 years, the interest rate has been hiked to 5.80 per cent from 5.6 per cent.
The bank has hiked the interest rate to 5.80 per cent on deposits maturing in 3 to 5 years. The interest rate for deposits between 5 and 10 years has been hiked to 5.85 per cent.
Senior citizens will get an additional rate of interest of 50 basis points (bps) over the standard rates for a term up to 5 years and 80 bps for a period above 5 years. Whereas, super senior citizens who are over 80 years old will get an additional rate of interest that is 80 basis points more than the general investors.
Also read: SBI hikes fixed deposit interest rates by up to 20 basis points; check new FD offers
2. Public sector bank Union Bank of India has also hiked the FD rates for schemes under Rs 2 crore. The rates are effective from October 17, 2022. The bank has raised interest rates on tenors of 91 days to 10 years. It will be paying a maximum interest rate of 7 per cent for schemes maturing in 599 days.
For short schemes of 7 to 45 days, the bank will pay an interest of 3.00 per cent. For deposits of 46 to 90 days, the new interest rate is 4.05 per cent, while for schemes of 91-120 days, the rate is 4.30 per cent. For 121-180 days schemes, the new interest rate is 4.40 per cent.
For schemes of 181 days to 1 year, the revised interest rate is 5.25 per cent, and for one-year schemes, the revised rate is 6.30 per cent. The public sector bank is offering an interest rate of 6.60 per cent on schemes of 1 Year to 443 Days. The interest rate for schemes of 444 days is 6.70 per cent.
Schemes of 445 days to 598 days, the revised interest rate is 6.60 per cent, while for 599 days, the rate is 7.00 per cent. For deposits maturing in the next 600 days to two years, the bank will now give an interest rate of 6.60 per cent, and for deposits maturing in the next two years to ten years, 6.70 per cent.
Senior citizens will get an additional 0.5 interest rate on all schemes.
Most banks in India have revised their fixed deposit rates a couple of times after the Reserve Bank of India (RBI) started hiking its repo rate. Since May, Reserve Bank of India raised its short-term lending rate for the third consecutive time and cumulatively increased the key interest rate by 190 basis points. The RBI's Monetary Policy Committee (MPC) raised the key lending rate or the repo rate to 5.90 per cent on September 30, which is its highest since April 2019, in a bid to tame the rising inflation.
Punjab National Bank, Union Bank of India are the latest banks to revise their term deposit rates ahead of the festive season.
Here’s a quick look at the revised rates.
1. Punjab National Bank
The public sector bank has increased the interest rates on all fixed deposits under Rs 2 crore. The rates are effective from October 19, 2022. According to the bank's official website, the bank hiked the fixed deposit rates across a range of tenors by up to 50 bps. The maximum rates for general investors, senior citizens, and super senior citizens are 6.50 per cent, 7 per cent, and 7.30 per cent.
The bank has increased the interest rate by 50 bps from 3 per cent to 3.50 per cent for schemes maturing in 7 days to 45 days. For 46 to 90 day schemes, the revised interest rate is 3.75 per cent. Deposits maturing in 91 days to 179 days will have an interest rate of 4.50 per cent, which was 4 per cent before. For schemes of 180 days to 1 year, the revised rate is 5 per cent, which was earlier 4.50 per cent.
The public sector bank has hiked the interest rate by 20 bps from 5.50 per cent to 5.70 per cent on deposits maturing in 1 year to 404 days. The bank will offer 6.10 per cent for deposits maturing in 405 days.
For deposits of 406 to 599 days, the revised interest is 5.70 per cent. The bank will now provide a maximum interest rate of 6.50% on deposits maturing in 600 days.
For the next slab, between 601 days and two years, the interest rate will be 5.70 per cen. For 2 to 3 years, the interest rate has been hiked to 5.80 per cent from 5.6 per cent.
The bank has hiked the interest rate to 5.80 per cent on deposits maturing in 3 to 5 years. The interest rate for deposits between 5 and 10 years has been hiked to 5.85 per cent.
Senior citizens will get an additional rate of interest of 50 basis points (bps) over the standard rates for a term up to 5 years and 80 bps for a period above 5 years. Whereas, super senior citizens who are over 80 years old will get an additional rate of interest that is 80 basis points more than the general investors.
Also read: SBI hikes fixed deposit interest rates by up to 20 basis points; check new FD offers
2. Public sector bank Union Bank of India has also hiked the FD rates for schemes under Rs 2 crore. The rates are effective from October 17, 2022. The bank has raised interest rates on tenors of 91 days to 10 years. It will be paying a maximum interest rate of 7 per cent for schemes maturing in 599 days.
For short schemes of 7 to 45 days, the bank will pay an interest of 3.00 per cent. For deposits of 46 to 90 days, the new interest rate is 4.05 per cent, while for schemes of 91-120 days, the rate is 4.30 per cent. For 121-180 days schemes, the new interest rate is 4.40 per cent.
For schemes of 181 days to 1 year, the revised interest rate is 5.25 per cent, and for one-year schemes, the revised rate is 6.30 per cent. The public sector bank is offering an interest rate of 6.60 per cent on schemes of 1 Year to 443 Days. The interest rate for schemes of 444 days is 6.70 per cent.
Schemes of 445 days to 598 days, the revised interest rate is 6.60 per cent, while for 599 days, the rate is 7.00 per cent. For deposits maturing in the next 600 days to two years, the bank will now give an interest rate of 6.60 per cent, and for deposits maturing in the next two years to ten years, 6.70 per cent.
Senior citizens will get an additional 0.5 interest rate on all schemes.