Various banks have hiked the interest rates on fixed deposits (FDs) during the first week of 2023. These banks include Indian Overseas Bank (IOB), Bandhan Bank, Kotak Mahindra Bank, Punjab National Bank (PNB), Punjab & Sind Bank, and Yes Bank. Banks across India have been hiking the interest rates on term deposits and savings accounts since the Reserve Bank of India (RBI) began increasing the repo rate in May last year. The repo rate was last raised by 35 basis points (bps) by the RBI, on 7 December 2022, to 6.25 percent. Now, Shivalik Small Finance Bank (SFB) has also increased the interest rates on savings accounts and FDs recently.
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The revised rates came into effect from 5 January 2023. After the hike, the lender is now offering up to 7.3 percent interest on savings accounts. On the other hand, the bank is giving up to 7.5 percent returns on FDs for the general public and 8 percent for the senior citizens.
SFB Savings Account Interest Rates
SFB is offering a 3.5 percent interest on savings account for amounts between Rs 1 lakh and Rs 10 lakh. A return of 4 percent is being given by the lender on deposits between Rs 10 lakh to Rs 50 lakh. The bank is providing a 4.5 interest on savings accounts where the balance ranges from over Rs 50 lakh to Rs 1 crore. Six percent interest is being offered by SFB on deposits between Rs 1 crore and Rs 2 crore.
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The lender is giving a return of 7.25 percent on savings account balances above Rs 2 crore and up to Rs 7 crore. The bank is offering 7.3 percent interest on savings bank deposits of Rs 7 crore and above.
SFB FD Rates for deposits of below Rs 2 crore
Customers of SFB can now earn 3.75 percent interest on FDs maturing in 7 to 14 days. The bank is offering an interest rate of 4 percent on deposits with a maturity period of 15 to 29 days. The customers can earn a 4.5 interest on deposits maturing between 30 and 90 days. Term deposits with a tenure between 91 and 180 days will attract a 5 percent interest.
FDs maturing between six months and one year are providing 5.75 percent returns. The lender is offering 6.75 interest on FDs maturing between one and two years. An interest rate of 7.5 percent is now being offered on FDs maturing in two to three years. One can earn 7 percent interest on term deposits maturing in 36 months 1 day to 60 months. FDs maturing in 60 months 1 day to 120 months are offering 6.75 percent return. Meanwhile, a five-year tax-saving FD is providing 7 percent interest. Senior citizens are getting an extra interest rate of 0.5 percent across all tenures.
