IDBI Bank Adjusts Fixed Deposit Rates : IDBI Bank is preparing to introduce revised interest rates for its Fixed Deposit (FD) accounts, starting from September 15, 2023.
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IDBI Bank has made it clear that these updated interest rates will exclusively apply to newly renewed and fresh deposits. Existing deposits will continue to earn interest at the originally agreed-upon rate.
Known for its adaptable deposit schemes, the bank regularly assesses and modifies its interest rates in accordance with the prevailing market conditions. As of September 15, 2023, the following rates are applicable to Resident and Non-Resident Ordinary (NRO) Term Deposits of less than Rs. 2 Crore, as outlined on the IDBI Bank website:
IDBI Bank Adjusts Fixed Deposit Rates Effective September 15, 2023.
|Interest Rate (% p.a.)|
|Retail Term Deposits (< 2 Cr)|
|Maturity Slab||General Customers||Sr. Citizen|
|46- 90 days||4.00||4.50|
|6 months 1 day to 270 Days||5.75||6.25|
|271 days to < 1 year||6.25||6.75|
|1 Year to 2 Years|
(except 375 Days and 444 Days)
|> 2 Years to 5years||6.50||7.00|
|> 5 years to 10 years||6.25||6.75|
|>10 years to 20 years$||4.80||5.30|
|Tax Saving FD|
In the event of an early withdrawal of deposits, the applicable interest rate will be determined based on the duration the deposit has been held with the bank, in line with the rate that was in effect at the time of the initial deposit placement. To illustrate, if a deposit matures over a 5-year term, and the depositor chooses to close it prematurely after only 1 year, the interest rate used for calculation will be the one valid for a 1-year tenure at the time of the deposit’s inception.
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Moreover, IDBI Bank will impose a 1% penalty on the applicable rate for deposits closed prematurely. This penalty encompasses various withdrawal methods, including sweep-ins and partial withdrawals.
IDBI Bank maintains its commitment to providing customers with competitive and transparent FD interest rates, aligning its policies with the ever-evolving financial landscape.