DCB Bank Reduces Fixed Deposit Interest Rates Following RBI’s Repo Rate Cut
DCB Bank Reduces Fixed Deposit Interest Rates Following RBI's Repo Rate Cut
DCB Bank, a private sector lender, has reduced interest rates on fixed deposits (FDs) below ₹3 crore for select tenures, effective February 14, 2025. This adjustment follows the Reserve Bank of India’s (RBI) recent decision to lower the repo rate from 6.50% to 6.25%, aiming to reduce borrowing costs for banks.
Revised Interest Rates:
- General Public: DCB Bank now offers interest rates ranging from 3.75% to 8.05% on FDs for tenures between 7 days and 10 years. The highest rate of 8.05% is available for tenures of 19 to 20 months.
- Senior Citizens: Interest rates range from 4.25% to 8.55% for the same deposit amounts and tenures, with the peak rate of 8.55% also applicable for 19 to 20-month tenures.
Specific Reductions:
- For General Public:
- Tenures over 26 months but less than 37 months: Rate decreased by 55 basis points, from 8.05% to 7.50%.
- Tenures between 37 and 38 months: Rate reduced by 20 basis points, from 8.05% to 7.85%.
- For Senior Citizens:
- Tenures over 26 months but less than 37 months: Rate lowered by 55 basis points, from 8.55% to 8.00%.
- Tenures between 37 and 38 months: Rate cut by 20 basis points, from 8.55% to 8.35%.
- Tenures exceeding 38 months but less than 61 months: Significant reduction of 65 basis points, from 8.55% to 7.90%.
These changes reflect the bank’s response to the RBI’s monetary policy adjustments, influencing both lending and deposit rates across the banking sector.
