The State Bank of India which is the largest bank in India, has now increased the rates of its bulk deposits of over ₹ 1 Crore. As per information available of the bank’s website, Bulk term deposits of ₹ 1 Crore and above will now carry one percentage point higher interest rate than the earlier rates. The revised rates are applicable from 30th November, 2017.
Domestic bulk term deposits (₹ 1 Crore to ₹ 10 Crore) of less than 2 years will now attract interest rates ranging from 4.75% to 5.25% (3.75% to 4.25% earlier), while deposits ranging from 2 years to 10 years will attract 5.25% interest (4.25% earlier).
Similarly, bulk deposits made by senior citizens of less than 2 years will fetch interest up to 5.75%, while deposits between 2 years and 10 years will also give 5.75% return as against 4.75% earlier.
As per the bank, Premature penalty for bulk term deposits for all tenors will be 1%. It will be applicable for all new deposits, including renewals. There is no discretion for reduction/waiver of penalty for premature withdrawal of term deposit.
The revised rates of interest on bulk SBI Fixed Deposit will be made applicable to fresh deposits and renewals of maturing deposits. The interest rates on NRO term deposits shall be aligned as per the rates for domestic term deposits.
These rates of interest shall also be made applicable to domestic term deposits from Cooperative Banks.