CENTRAL BANK OF INDIA REVISED INTEREST RATES ON DOMESTIC TERM DEPOSITS FROM 25 BASIS POINTS TO 150 BASIS POINTS

As per the press release issued, Central Bank of India has revised upward the Interest Rate on Domestic Term Deposits from 25 Basis points to 150 Basis points on the Deposits of Rs.15 lacs and above w.e.f. 15.03.2010. The Interest Rate on Domestic Term Deposits above Rs. 15 lacs less than Rs.1 crore have been revised from existing 6.25% p.a. to 6.50% p.a. for the period 1 year to less than 2 years, 6.50 p.a. % to 6.75% p.a. from 2years to less than 3 years and 6.50% p.a. to 7.0% p.a. from 3 years to less than 5 years w.e.f. 15.03.2010. The Rate of Interest for other periods shall be the same as earlier.

The Rate of Interest on Domestic Term Deposits for Rs.1 crore and above have been changed from 3% p.a. to 4% p.a. for the period 46 days to 90 days, 3.50% p.a. to 5% p.a. for the period 91 days to 179 days, 4.50% p.a. to 5.50% p.a. for the period 180 days to 269 days, from 5.50% p.a. to 6.0% p.a. from the period 270 days to 364 days w.e.f. 15.03.2010.  The Rate of Interest for other periods shall be the same as earlier.

An additional Rate of Interest of 0.50% p.a. over and above the normal Rate of Interest for any of the Time Deposit Scheme will be given as incentive for Deposits of  Senior Citizens who are above 60 years of age.  The above rates shall  also be applicable to Capital Gain Scheme Accounts of 1988.  The revised Interest Rates shall be applicable to fresh deposits as well as renewal of maturing deposits.