State Bank of India (SBI) had increased its fixed deposit rates by 0.25% on certain maturities from March 1, 2013.
With the revision, the interest rate on 1-2 years fixed deposit would go up to 8.75 per cent, from 8.50 per cent. Similarly, term deposit 2-3 years, 3-5 years and 5-10 years would also earn higher interest rate of 8.75 per cent. However, the bank has left interest rate unchanged for deposits less than 1 year.
The bad news is there is no increase in Fixed Deposit rates for Senior Citizens as SBI has reduced the premium in interest rates from 0.5% to 0.25% for them.
Premature withdrawal of SBI Term Deposits:
- Domestic Term and NRO Deposits should remain for a minimum period of 7 days and NRE Deposits should remain for a minimum period of 1 year in order to earn interest.
- No penalty for premature withdrawal upto 180 days and 0.5% for other maturities.
Loan Against Fixed Deposit:
Loan at only 0.5% above the rate of deposit on term deposit
- 8 Changes in Income Tax Exemptions and Rules in Budget 2015 - March 2, 2015
- Income Tax Calculator for FY 2015-16 [AY 2016-17] – Excel Download - February 28, 2015
- 11 Tax Free Components You Must have in Salary - February 26, 2015
- 19 Company Fixed Deposit (FD) Schemes to Choose From - February 18, 2015
- 22 Hidden Charges in Saving Bank Account - February 11, 2015
- Highest Tax Saving Bank Fixed Deposit Rates U/S 80C - February 4, 2015
- 9 Must Knows About Sukanya Samriddhi Account - February 3, 2015
- 9.5% IFCI NCD – Jan/Feb 2015 – Should you Invest? - January 30, 2015
- Life Insurance Death Claim Settlement Ratio for FY 2013-14 - January 29, 2015
- 4 Personal Finance Changes in Week of January 12 – 25, 2015 - January 27, 2015