Mumbai, Nov 07: State Bank of India has decided to cut interest rates on domestic term deposits by 0.25-0.5 per cent across all maturities from November 10, in a bid to align their rates with other banking entities. The country's largest bank has, however, left the lending rates untouched.
The interest rate for deposits of 15-45 days has been reduced by 0.25 per cent at four per cent, SBI said in a release here today.
A senior bank official said this cut has been done as SBI had not revised the interest rate after the repo rate cut in August.
For maturity brackets above 45 days, the rate has been lowered by 0.5 per cent. As a result of the cut, interest for for senior citizen deposits has also declined by 0.5 per cent.
The revised rates for deposits of 46-179 days would be 4.5 per cent (earlier five pc), 180 days to less than one year at 4.75 per cent (5.25 per cent) and one year to less than two years at five per cent (5.5 per cent), it said.
In case of deposits of two years to less than three years and three years and above, the new rates would be pegged at 5.25 per cent (5.75 per cent) and 5.5 per cent (six per cent) respectively, it added.
SBI had last revised its interest rates on may five.
Banking sources said SBI was waiting for the mid-term review of monetary and credit policy before moving ahead with the realignment of interest rates on deposits.
Bureau Report