HDFC BANK RAISES FIXED DEPOSIT RATES BY UP TO 75 BASIS POINTS

HDFC Bank became the first lender to increase its fixed deposit rates by up to 75 basis points after RBI raised key short-term rates.

With deposit rates going up, the bank may also raise lending rates in the next few weeks, a bank official said. 

The revised fixed deposit rates would be effective from July 30

Term deposit rate with maturity in between 91 days and 6 months would be raised by 75 basis points to 5.25 per cent from the existing 4.5 per cent.

For fixed deposit in between 9 months and one year, the new rates would be higher by 50 basis points at 6.25 per cent while for 1 year 16 days category it will be 7 per cent, 25 basis points more than the existing rate of 6.75 per cent.

Another private sector lender Lakshmi Vilas Bank also increased its fixed deposit rates up to 50 basis points across various maturities. The new rates would be effective from August 2.

The term deposit rate for 181-270 days has been raised by 50 basis points to 6.25 per cent from 5.75 per cent.

At the same time, 271-364 days term deposit would attract an interest rate of 6.5 per cent compared to existing 6.25 per cent while 1 year to less than 2 years deposit would also go up by 25 basis points.

Source: http://economictimes.indiatimes.com/news/news-by-industry/banking/finance/banking/HDFC-Bank-raises-fixed-deposit-rates-by-up-to-75-basis-points/articleshow/6228092.cms