FD rates lowered after RBI move
After the Reserve Bank of India surprised everyone with a repo rate cut, HDFC Bank followed up with its own unexpected twist. It reduced the interest rates for both fixed deposits and savings accounts, leaving many account holders feeling caught off guard. People who rely on FD returns for regular income are now rethinking their plans. The new rates reflect a cautious banking shift after RBI’s move to inject more liquidity into the system.
FD interest drops across tenures
For those locking in money for short durations, the return just got slimmer. For FDs ranging from 7 to 14 days, regular customers will now earn just 2.75 percent. Senior citizens fare a bit better with 3.25 percent. A 30 to 45-day deposit offers 3.25 percent for regular customers and 3.75 percent for seniors.
Longer deposits offer slightly improved rates but still fall short of earlier expectations. From 90 days to half a year, the interest is 4.25 percent for most and 4.75 percent for seniors. The highest rate comes with deposits of 18 to 21 months, paying 6.60 percent to general customers and 7.10 percent to seniors. Even that, though, feels like a compromise compared to earlier years.
Savings accounts also affected
It is not just FDs taking the hit. Savings account holders are also seeing the sting. If your account balance crosses the 50 lakh rupee mark, the interest has been trimmed from 3.50 percent down to 3.00 percent. For everyone else with less than that amount, the bank has left the rate unchanged at 3.00 percent.
For many loyal customers who keep their life savings in HDFC accounts, this sudden shift feels personal. It chips away at the small comforts of passive income many had counted on.
Some relief for loan borrowers
By contrast, borrowers are able to find some consolation. HDFC Bank has reduced its marginal cost-based lending rate, commonly known as MCLR, by 0.10 percent across various tenures. Now, a one-day or one-month loan is available at 8.90 percent. Three-month borrowing costs dropped to 8.95 percent, and loans up to one year sit at 9.05 percent. Even long-term loans saw relief with the two and three-year rates reduced to 9.10 percent.
So while EMI payers may smile, savers are definitely not celebrating.
