Big News! State Bank of India has reduced the interest rate on this savings scheme, know details
The largest public sector bank in India, State Bank of India (SBI) has reduced the interest rates on its special fixed deposit scheme, Amrit Vrishti Yojana. The new revised interest rates will be effective from June 15, 2025. The new interst rates will lower returns for depositors under this particular savings scheme. SBI has made no to the regular fixed deposit interest rates.
How much interest rate is reduced?
SBI cuts the Amrit Vrishti FD interest rate by 25 basis points. Regular customers will now get 6.6% per annum for deposits for a tenure of 444 days, earlier the interest rate was 6.85% per annum. Senior citizens and super senior citizens get additional interest rate benefits.
For senior citizens, SBI is now offering an interest rate of 7.10% per annum on the Amrit Vrishti FD. Super senior citizens, those aged 80 years and above, will get 7.20% per annum, which includes an extra 10 basis points over the senior citizen rate.
Also Read- Good News! These Four Banks Cut EMI Loan Interest Rates After RBI’s Repo Rate Slash
Penalty rate on premature withdrawal
SBI has also set the penalty charges for premature withdrawals (across all FD tenures). A penalty of 0.50% will apply on premature withdrawals for retail FDs up to ₹5 lakh (across all FD tenures). For deposits above ₹5 lakh but less than ₹3 crore, the penalty will be 1% across all tenures.
Recently the Reserve Bank of India (RBI) cut the repo rate by 50 basis points during its June monetary policy meeting. As an effect to this policy, major private banks, including ICICI Bank, HDFC Bank, and Canara Bank, have also reduced their fixed deposit interest rates.
