Private sector DCB Bank has cut interest rates on fixed deposits (FDs). The bank has reduced interest rates by 0.65 per cent for select tenures in case of FDs less than Rs 3 crore.
According to the bank’s website, the new interest rates are effective from February 14, 2025. After the Reserve Bank of India (RBI) cut the repo rate by 0.25 per cent, there was a fear that commercial banks would reduce interest rates on FDs.
Repo rate is the rate at which banks get loans from RBI. When it is reduced, loans become cheaper for banks. They have sufficient liquidity and there is no need to get deposits by offering higher interest. Therefore, there is a possibility of reduction in interest on FD due to reduction in repo rate.
On which FDs interest has decreased in DCB Bank
The bank has reduced the interest rate by 0.55 percent on FDs of tenure more than 26 months but less than 37 months. After this, the interest rate for general citizens has come down from 8.05% to 7.50% per annum and for senior citizens from 8.55% to 8% per annum. For tenure ranging from 37 months to 38 months, the bank has reduced the interest rate on FDs by 0.20 percent. After this, the interest rate has come down from 8.05% to 7.85% per annum and for senior citizens from 8.55% to 8.35% per annum.
The interest rate on FDs with tenure of more than 38 months but less than 61 months has been reduced by 0.65 percent. After this, the interest rate for general citizens has come down from 8.05% to 7.40% per annum and for senior citizens from 8.55% to 7.90% per annum.
DCB Bank has up to 8.05% interest on FD
After the latest cut, the interest rate in DCB Bank now ranges from 3.75% to 8.05% per annum for FDs of less than Rs 3 crore for a period of 7 days to 10 years for general citizens. In the case of senior citizens, the annual interest rate for FDs of less than Rs 3 crore in the bank ranges from 4.25% to 8.55%. The highest interest is on FDs of 19 months to 20 months.
The bank has 457 branches all over India
DCB Bank was started in the 1930s. As of 31 December 2024, the bank had 457 branches across India. It has about 25 lakh customers. Promoters held 14.72 percent stake in the bank as of the end of December 2024. DCB Bank is listed on the stock market.
Related Articles:-
- What Will Happen If the Bank is Banned or Closed, How Much Money Will You Get? Explained
- New Tax Bill: Govt has abolished 80C, now how to get the benefit of Rs 1.5 lakh through ELSS, PPF, NPS?
- US Govt Tight Rules On OPT Work Permit Impact On 69000 Indian Students
- US Visa Interview Rule: US government changed rules for visa renewal, CHECK Details Here
- Property Rule: Land does not become yours just by registering it, this document gives ownership rights
