SBI Update: SBI again gave a shock to investors, reduced the earnings on FD..

The country's largest public sector bank, State Bank of India (SBI), has cut its fixed deposit (FD) interest rates for both the general public and senior citizens, effective from May 16, 2025. According to the website, SBI has cut FD rates by 20 basis points (bps) across all tenures. The latest FD rate cut comes just a month after the last FD rate cut on April 15, 2025. After the 20 bps cut across all tenures, SBI will provide FD interest rates between 3.30 per cent and 6.70 per cent per annum (without special FDs) for general citizens for amounts less than Rs 3 crore. Earlier, SBI was offering 3.5 per cent and 6.9 per cent per annum interest on FDs ranging from 7 days to 10 years.

Tenure: What was the interest rate earlier (in percent)? Current interest rates (in percent)
7 days to 45 days 3.5 3.3
46 days to 179 days 5.5 5.3
180 days to 210 days 6.25 6.05

211 days to less than 1 year 6.5 6.3
1 year to less than 2 years 6.7 6.5
2 years to less than 3 years 6.9 6.7
3 years to less than 5 years 6.75 6.55
5 years to 10 years 6.5 6.3
Source: SBI website

What is the connection?
Cut in the Amrit Vrishti scheme, too.
SBI has also cut the interest rate on its special FD scheme, Amrit Vrishti, by 0.20 percent. According to the bank's website, the duration of the Amrit Vrishti scheme is 444 days, for which the interest rate for the general public has been reduced from 7.05 percent to 6.85 percent.

Interest rates for senior citizens are also cut.

SBI has cut FD rates of all tenures for senior citizens by 0.20 percent. Now, senior citizens will get interest between 3.80 percent to 7.30 percent per annum (including SBI WeCare deposit) on FDs of less than Rs 3 crore from SBI. Earlier, the bank was giving interest between 4 percent and 7.50 percent (including SBI WeCare) to senior citizens. At the same time, senior citizens will now get 7.35 percent interest under the Amrit Vrishti Special Scheme, and super senior citizens will be given 7.45 percent interest.

Tenure: What was the interest rate earlier (in percent)? Current interest rates (in percent)
7 days to 45 days 4 3.8
46 days to 179 days 6 5.8
180 days to 210 days 6.75 6.55
211 days to less than 1 year 7 6.8
1 year to less than 2 years 7.2 7
2 years to less than 3 years 7.4 7.2
3 years to less than 5 years 7.25 7.05
5 years and up to 10 years 7.50* 7.30*
*An additional premium of 0.50% is included under the SBI V-Care Deposit Scheme.

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