SBI reduces term deposit rates by up to 50 bps

Mumbai: Country's largest lender State Bank of India has cut its term deposit rates by up to 50 basis points for various maturities. The rates have been revised for medium and long term deposits and for amount below Rs 1 crore.

According to the new structure, for two to less than three years deposits, SBI will offer a rate of 6.25 per cent as compared to 6.75 per cent earlier, the bank said.

For the similar maturity, the deposit rates for senior citizen have been cut to 6.75 per cent from 7.25 per cent. For deposits maturing between three years and 10 years, the rates have been lowered by 25 basis points to 6.50 per cent.

The lender will be offering the new rates for fresh deposits and renewals and are applicable from April 29, 2017. The short term deposits, that is, for deposits maturing between seven days to less than two years, the rates have been left unchanged.

The bank is offering highest rates of 6.90 per cent for one year to 455 days term deposits. SBI has also not changed its marginal cost of funds based lending rates. Its one-year MCLR is at eight per cent.