New FD Rates of the nation top three banks with the recent repo rate hike | Business Upturn

New FD Rates of the nation top three banks with the recent repo rate hike

In overall, an increase in repo rates makes borrowing more expensive and savings more appealing. Policy repo rate adjustments have a considerable influence on lending and deposit interest rates.


In December 2022, the Reserve Bank of India (RBI) raised the repo rate for the fifth time. The RBI began hiking key rates in May 2022, and the repo rate has been raised five times since then. On December 7, 2022, the RBI raised the repo rate by 0.35 percentage points, bringing it to 6.35%.

Banks and non-bank financial companies (NBFCs) have both raised interest rates as a result of rising repo rates. Fixed Deposit (FD) interest rates are rising, which is excellent news for risk-averse conservative investors searching for a safe investment with high returns. Fixed deposit investors who have been trapped with low-interest rates will be satisfied with the recent increases, as banks have moved to raise FD interest rates as just a result.

After RBI’s surprise rate hike, Anjana Potti, Partner, J Sagar Associates (JSA) said, “The geopolitical situation caused by Russia’s invasion of Ukraine is weighing on all markets. Market watchers across the world have their eye on the US Federal Reserve which is likely to announce a decision to increase rates later tonight. Central banks in many countries are raising rates to counter the effects of inflation. These costs of borrowing had fallen to record lows during the pandemic to bolster growth.”

State Bank Of India (SBI)

SBI recently raised the interest rate on FDs with effect from December 13, 2022. With the change, the bank now provides FD rates of less than Rs 2 crores to the general public at a minimum of 3% and a maximum of 6.25% interest. Senior people will continue to benefit from the a 50 basis point differential in interest rates. The bank is now offering a maximum interest rate of 7.25% and a minimum interest rate of 3.50% on FDs to senior citizens. The interest rates apply to maturities range from 7 days to 10 years. In addition, the SBI Wecare plan provides an extra 50% in interest.


The bank’s official website, HDFC Bank has raised the interest rates on FDs under Rs 2 crore with effect from 14 December 2022. The revised interest rates apply to domestic, NRO, and NRE accounts. For deposits less than Rs 2 crore, the bank gives a maximum of 7% and a minimum of 3% return. While for elderly citizens, the bank provides a maximum interest rate of 7.75% and a minimum interest rate of 3.50%. The maturity length for the bank’s FD ranges from 7 days to 10 years.


On the same day that the RBI startled markets by raising the repo rate by 40 basis points to 4.4%, ICICI Bank revised its external benchmark lending rate, which would take effect on May 4, 2022.

On the company’s website, the “ICICI Bank External Benchmark Lending Rate” (I-EBLR) is a mark-up on the RBI Policy Repo Rate. The I-EBLR is 8.10% p.a.p.m. as of May 4, 2022.