Various banks have been hiking their fixed deposit (FD) interest rates since May 2022 after the Reserve Bank of India (RBI) started increasing the repo rate. Some of the banks that have increased their FD interest rates are the State Bank of India (SBI), Axis Bank, Kotak Mahindra Bank, and IDFC First Bank. ICICI Bank has also revised the interest rates on bulk fixed deposits (FDs) for general individuals and senior citizens. The new rates came into effect on 23 November. Term deposits between Rs 2 crore and Rs 5 crore are offering a maximum interest rate of 6.8 per cent. FD rates below Rs 2 crore have not been revised by the bank. These deposits are being given at 3-6.6 per cent interest to the general public and 3.5-7.1 interest per cent to senior citizens.
The rates range between 3.75 per cent and 6.8 per cent for both general and senior citizens on deposits between Rs 2 crore to less than Rs 5 crore. The bank has also updated the rates on deposits with a premature withdrawal option starting from Rs 5 crore.
The interest rate is highest at 6.8 per cent for deposits with terms ranging from 15 months to three years. The rate is 6.5 per cent for terms ranging from three years and a day to 10 years. For tenures ranging from one year to less than 15 months, the bank is offering an interest rate of 6.75 per cent.
ICICI Bank is giving 6.25 per cent interest for term deposits ranging from 271 days to less than one year. The rate stands at 6 per cent for deposits ranging from 185 days to 270 days. Moreover, 5.75 per cent interest is being given by the bank on FDs ranging from 91 to 184 days. It is offering an interest rate of 5.25 per cent on FDs with terms of 61 to 90 days. For FDs maturing in 46 to 60 days, the rate is 5 per cent, and 4.75 per cent interest is being offered on deposits with a maturity period of 30 to 45 days.
FDs of Rs 5 crore or more are now earning interest ranging from 3.75 per cent to 7.15 per cent. Term deposits below Rs 2 crores are eligible for the five-year tax-saving FD plan. From the taxable income, a customer may deduct up to Rs 1.5 lakh in taxes via a deposit in ICICI Bank.