SBI slashes bulk fixed deposit rates: Will the latest changes affect your personal savings? Check here

State Bank of India (SBI), the country's largest lender, has revised interest rates on bulk fixed deposits, with the latest changes largely affecting shorter-term deposits of ₹3 crore and above.

SBI has reduced rates on domestic bulk term deposits by up to 25 basis points (bps) for select maturities. The revised rates took effect on 15 August 2026, according to information published by the bank.

Rate trims focus on short maturities

The latest revision primarily impacts shorter-duration bulk fixed deposits.

For general customers, SBI has lowered the interest rate by 25 bps on bulk deposits with maturities ranging from seven days to 179 days. For deposits with tenures between 180 days and 210 days, the reduction is 10 bps.

There has been no change in rates for bulk FDs with maturities of 211 days to 10 years.

Following the revision, interest rates offered by SBI to general customers on bulk fixed deposits range from 5.25% to 6.50%, depending on the deposit tenure.

Changes impact senior citizens

Senior citizens have also been affected by the latest revision.

SBI has reduced rates for senior citizens by 25 bps on bulk deposits with tenures of seven days to 179 days. For deposits held for 180 days to 210 days, the rate has been cut by 10 bps.

Rates for longer-term deposits, covering maturities from 211 days to 10 years, remain unchanged.

Senior citizens can currently earn between 5.75% and 7% on SBI bulk fixed deposits, depending on the chosen tenure.

The revised rates apply to both new deposits and renewals of maturing deposits. Therefore, customers whose bulk FDs are coming up for renewal should check the applicable rates before deciding whether to reinvest and for how long.

Premature withdrawal penalties apply

Investors should also consider SBI's premature withdrawal rules before placing a substantial amount in a bulk FD.

The bank has said that a 1% penalty will be charged when a bulk deposit is withdrawn before its maturity date. The penalty applies across tenures and also covers new deposits and renewed deposits.

Therefore, depositors should assess their liquidity requirements before committing a large sum to a fixed deposit for a specific period.

Retail deposits left intact

Customers with deposits below ₹3 crore have not been affected by the latest revision. SBI has kept its regular retail fixed-deposit rates unchanged.

For general customers, regular SBI FDs currently offer interest rates ranging from 3.05% to 6.40%, depending on the tenure. Senior citizens receive an additional interest benefit, with rates ranging from 3.55% to 7.05%.

As a result, retail FD customers do not face an immediate change in their deposit rates. SBI's latest adjustment is focused on the bulk-deposit segment, particularly shorter-term deposits.