INTEREST RATES

 

A) INTEREST RATES ON RUPEE DEPOSITS 
 

DOMESTIC SAVINGS INTEREST - w.e.f. 01/03/2005  

DOMESTIC SAVINGS INTEREST  3.5%p.a 

a) RATE OF INTEREST ON DOMESTIC TERM DEPOSITS, CAPITAL GAIN ACCOUNTS SCHEME 1988, RECURRING DEPOSIT SCHEME AND PSB FIXED DEPOSIT, TAX-SAVER SCHEME

This is in supersession to HO Risk Management Dept. circular No 143 dated 06.04.2010. ALCO has decided to revise the interest rates on Domestic Term Deposits. The revised interest rates shall come into effect from 19.07.2010 as under

 

PROPOSED RATES
Effective From 19.07.2010  
Maturity
UPTO Rs 15 lac
Above Rs 15 lac to Rs 1 Crore
Above Rs. 1 crore to upto Rs.5 crore
Above Rs 5 Crore and above
7 - 14 Days
2.50*
2.50
2.50
3.00
15 - 30 Days
2.75
2.75
3.25
3.00
31 - 45 Days
2.75
2.75
3.25
3.00
46 - 90 Days
4.00
4.00
4.25
4.00
91 - 179 Days
5.00
5.00
5.25
4.50
180 -269 Days
5.50
5.50
5.50
5.00
270 - 364 Days
5.75
5.75
5.75
5.50
1 Year-2 Years
7.00
6.75
6.75
6.00
Above 2 Years - <3 Years
7.00
7.00
6.75
6.00
3 Years -< 5 Years
7.25
7.00
6.75
6.00
5 years - 10 years
7.50
7.00
6.75
6.00

* For this maturity period the minimum term deposit shall be for Rs 1.00 Lac.

NOTE:

(i) Senior Citizens shall be given an additional benefit of 0.50% on deposits of less than Rs. one Crore, over and above the mentioned rates, but ONLY for the maturities of 180 days & above for fresh or renewal of deposits.(Refer RMD circular No. 131/09 dated 20.11.2009)

(ii) The rate of interest on PSB FIXED DEPOSIT TAX SAVER SCHEME shall be @ 6.75% p.a. (w.e.f 04.12.2009). However other terms and conditions of HO. P&D Dept circular No. 2297 dated 03.02.2007 shall continue. As regard to allowing benefit of higher interest Rate to Senior Citizen under the Scheme, over and above the card rate, please refer to Clause (ii) of HO. RMD circular No.63/07 dated 07.09.2007.

(iii) Branches are advised to continue intimating HO Risk Management Dept. and HO Investment Management Dept. through their respective Zonal Offices complete details of all term deposits of Rs. 1 Crore and above whether mobilized, renewed or paid. Further, before mobilizing term deposits of Rs. 1 Crore and above, prior permission from HO Risk Management Dept. be obtained.

(iv) Branches are advised NOT to accept interbank cash receipt either for issuing term deposits or in Current accounts till further orders. However, interbank deposits can be received through cheques in CURRENT ACCOUNT only.

(v) The revised rates shall apply only to fresh deposits and on renewal of existing deposits on maturity. These rates are subject to revision from time to time.

(vi) Other terms and conditions, w.r.t. pre-mature withdrawal of term deposits, of HO. RMD Circular No.145 dated 01/07/2010 remain unchanged.



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