Bandhan Bank on Wednesday announced an increase in its Fixed Deposit (FD) rates by 20 basis points for specific tenures. The bank said it is offering up to 7.95 percent interest rate on FD for the tenure of 2 to less than 3 years. The Bank is now offering the highest interest rate of 7.95 percent to the senior citizen customers. On the same FD tenure, the general customers will earn 7.45 percent, said Bandhan Bank.
The Bank is also offering interest rate of 7.75 percent to the senior citizens on longer term fixed deposits for the tenure of less than 5 years. Others will earn 7.25 percent for the same term deposits.
Bandhan Bank also offers an interest rate of 6.5 percent on savings account balances above Rs 5 lakh to Rs 10 lakh.
Here is a comparison of FD interest rate and tenure for senior citizen and general public.
| Maturity Bucket | Int. Rate for Non-Senior Citizens | Int. Rate for Senior Citizens |
|---|---|---|
| 7 days to 14 days | 2.95% | 3.70% |
| 15 days to 30 days | 2.95% | 3.70% |
| 31 days to less than 2 months | 3.45% | 4.20% |
| 2 months to less than 3 months | 4.20% | 4.95% |
| 3 months to less than 6 months | 4.20% | 4.95% |
| 6 months to less than 1 year | 4.20% | 4.95% |
| 1 year | 7.00% | 7.50% |
| 1 year 1 day to 1 year 9 months | 7.00% | 7.50% |
| 1 year 9 months 1 day to less than 2 years | 7.00% | 7.50% |
| 2 years to less than 3 years | 7.45% | 7.95% |
| 3 years to less than 5 years | 7.25% | 7.75% |
| 5 years to up to 10 years | 5.85% | 6.60% |
| Tax Saver Fixed Deposit | 6.25% | 7.25% |
The Bandhan Bank FD interest rate announcement comes days after RBI’s Monetary Policy decision to pause key interest rates. Earlier this month, the Reserve Bank of India (RBI) kept the policy repo rates unchanged. RBI has kept the repo rate unchanged at 5.25 percent, continuing its neutral stance.
RBI’s Monetary Policy Committee that began its three-day policy meeting on Wednesday decided to maintain status quo on interest rates amid volatile global conditions, driven by ongoing tensions in West Asia.
“After a detailed assessment of the evolving macroeconomic and financial developments and the outlook, the MPC voted unanimously to keep the policy repo rate under the liquidity adjustment facility (LAF) unchanged at 5.25 percent. Consequently, the standing deposit facility (SDF) rate remains at 5.00 percent and the marginal standing facility (MSF) rate and the Bank Rate remain at 5.50 percent. The MPC also decided to continue with the neutral stance,” RBI Governor Sanjay Malhotra said.
