HDFC Bank shares jumped 3% after the lender slashed its savings account interest rates, effective April 12. The bank has reduced the rate by 25 basis points to 2.75% for balances below ₹50 lakh—marking the lowest rate among private sector banks. As of 9:16 AM, the shares were trading 3.13% higher at Rs 1,863.30.
For balances above ₹50 lakh, the new interest rate stands at 3.25%, down from 3.5%. This strategic move comes in response to the Reserve Bank of India’s recent 25 basis points cut in the repo rate, signaling a broader easing cycle.
HDFC Bank’s competitors, including ICICI Bank and Axis Bank, continue to offer a 3% interest rate on savings balances below ₹50 lakh, keeping them slightly ahead in terms of retail deposit appeal.
Earlier this month, HDFC Bank also reduced fixed deposit (FD) rates by 35–40 basis points on select tenures, starting April 1. These adjustments highlight the bank’s proactive alignment with the RBI’s monetary policy stance.
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