SBI hikes bulk deposit rates for second time in 2 months
Mumbai: In the second such revision in as many months, the nation’s largest lender State Bank of India (SBI) on Tuesday hiked interest on bulk deposits of over Rs10 crore by up to 140 basis points.
The bank had last raised deposit rates, revisions on which generally precede similar moves on the lending side, by up to 1 percentage point in November. At least, three banks have already hiked their lending rates earlier this month. The deposit rate revisions are effective immediately, the bank said in a statement.
On tenors from 1 year to 455 days deposit, the bank increased the interest rates to 6.25% from the earlier 5.25%. For tenors from two years to up to 10 years, the rates have been revised upwards to 6% from 5.25% earlier, the bank said.
For deposits of 180 days to 210 days, the rate has been revised to 6.25% from 4.85% earlier. The bank said the revised rate structure will be applicable to fresh deposits and also renewals of maturing deposits. Premature penalty for bulk term deposits for all tenors will be 1%. It will be applicable for all new deposits including renewals.