ICICI Bank raises interest rates on bulk FDs

ICICI Bank

ICICI Bank, one of the largest private banks, changed the interest rates on its bulk fixed deposits. The FDs range in size from 2 crores to 5 crores, but not beyond that. These revised FD rates will apply to both new and renewing fixed deposits with ICICI Bank. The interest rates on these bulk FDs are the same for both the general category and senior citizens.

ICICI Bank has been offering a 6.25 per cent interest rate on fixed-rate debt obligations with maturities ranging from one year to ten years.

The rate is 6 per cent for deposit durations of 271 days to less than a year. The bank charges 5.75 per cent for durations ranging from 185 to 270 days. Furthermore, the fee for contracts spanning 91 to 184 days is 5.50 per cent.

For shorter durations of 61 days to 90 days, the bank gives a 5 per cent interest rate. While the rate for contracts spanning 46 to 60 days is 4.25 per cent, contracts lasting 30 to 45 days are 3.90 per cent. For loans with terms ranging from 7 to 29 days, the bank charges a 3.75 per cent interest rate.

On its website, ICICI Bank said that no FD interest rate would be charged if the depositor withdrew the whole FD amount within seven days of the deposit date. In compliance with the 7-day minimum tenure requirement for domestic and non-resident foreign exchange deposits.

An ICICI FD account must be started with a minimum deposit of 10,000 rupees.

According to the company’s website, these enhanced fixed deposit interest rates will be applied for both new ICICI Bank fixed deposits and renewals of existing fixed deposits.

Furthermore, ICICI Bank emphasised that TDS is applicable to FD interest rates in accordance with the IT Act. However, under Section 80C, one client may utilise an ICICI Bank FD to deduct up to 1.5 lakh in taxes from their taxable income.

Also Read | ICICI Bank launches electronic bank guarantee (e-BG) facility

Notably, the bank offers an additional 1 per cent rate of interest on domestic deposits under Rs. 2 crores to its workers, including retirees. Furthermore, for a limited time, the bank is offering an extra rate of 0.20 per cent on FDs under Rs. 2 crores, in addition to the existing additional rate of 0.50 per cent per annum on tenures of 5 years, 1 day to 10 years.

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