FD Interest Rates Plunge! Which banks are aware of this notification?
FD Interest Rates: Some banks have now started reducing interest rates on their FD schemes. If you want to invest in FD, you need to know which banks have reduced their interest rates.
FD Interest Rates 2023
RBI has been steadily raising interest rates for the past few months. Due to this, the income from loan interest and bank schemes has increased in line with the rise in interest rates. As a part of this, interest rates on FD schemes known as Fixed Deposits have increased significantly. However, some banks have now started reducing interest rates on their FD schemes. If you want to invest in FD, you need to know which banks have reduced their interest rates. Let’s take a look at the banks that have recently implemented interest rate cuts on FD schemes.
Axis Bank has implemented a reduction of 20 basis points on the interest rate for its Single-tenure Fixed Deposit schemes. After this revision, interest rates on Fixed Deposits offered by Axis Bank will now range from 3.5% to 7.10% depending on the tenure of 7 days to 10 years.
Also, the interest rate on FDs with a maturity period of less than 5 days and up to 13 months has been reduced from 7.10% to 6.80%. The interest rate has been reduced from 7.15% to 7.10% for schemes with a maturity period of 13 months and less than 3 years. These changes are effective from May 18, 2023.
Punjab National Bank
Punjab National Bank has reduced interest rates on its single tenures fixed deposit schemes, especially for schemes below Rs 2 crore. As a result, the interest rate on fixed deposits with 1-year tenure has been reduced by 0.05% to 6.75%. Similarly, the interest rate for the scheme with a maturity period of 666 days has been reduced from 7.25% to 7.05%.
Union Bank of India
In November 2022, the bank offered higher interest rates of 7.30% for the general public, 7.80% for senior citizens, and 8.05% for super seniors on FD schemes. But currently, as per the information mentioned on the official website of this bank, the interest rate is 7% for the public, 7.50% for senior citizens, and 7.75% for super senior citizens.
If you are planning to invest in FDs with these banks then keep in mind that the interest income offered for schemes with specific maturity periods will be lower compared to previous interest rates.