SBI reduces bulk deposit rates
Posted on: 24/Nov/2016 4:52:44 PM
On Wednesday, the State Bank of Indi has reduced bulk deposit rates by 1.9 percent, making the most of increased deposits following demonetization of Rs 500 and Rs 1000 notes.
This reduction made by SBI, the largest lender in the country might be a precursor to lending rate cut. For bulk deposits of the range Rs 1 to 10 crore, the interest rate is slashed down by SBI. According to the website announcement, the new rates are set to come to effect from Thursday.
As per the revised interest rates, about 1.90 percent lower interest rate will be applicable and the rate will be 3.85percent while earlier, the same was 5.75 percent. In case of fixed deposit, for deposits made for 1 year to 455 days, the rates are reduced to 6 percent from the earlier range 4.25. In case of fixed deposit made for 7 to 45 days, there is 1.25 percent reduction and the new rate is 3.75 percent. About 0.15 percent reduction in rate was imposed on fixed deposits under 1 crore. According to what Narendra Modi announced, amount deposited over Rs 5 lakh will not be kept idle.
