State Bank of India (SBI) has announced a revision in interest rates for domestic bulk fixed deposits (FDs) amounting to Rs 3 crore and above. The bank has implemented cuts of up to 25 basis points (bps) on select shorter-term tenures, with the new rates effective from August 15, 2026.
Crucially, SBI has opted to keep interest rates on retail fixed deposits, those below Rs 3 crore, entirely unchanged for both general citizens and senior citizens. This means the adjustments primarily impact large institutional or high-net-worth individual depositors.
Bulk FD Rate Changes for General Citizens
The most significant rate reductions are concentrated in shorter-duration bulk deposits. For general citizens, the revised rates include:
- 7 days to 14 days: Reduced from 4.50% to 4.25% (25 bps cut).
- 15 days to 45 days: Reduced from 5.00% to 4.75% (25 bps cut).
- 46 days to 179 days: Reduced from 5.10% to 4.85% (25 bps cut).
- 180 days to 210 days: Reduced from 5.60% to 5.50% (10 bps cut).
Interest rates for bulk deposits with tenures of 211 days to less than one year, and longer tenures up to 10 years, will remain unchanged.
Revisions for Senior Citizen Bulk Deposits
Senior citizens placing bulk fixed deposits will see similar adjustments. Rates for tenures ranging from seven days to 179 days have been cut by 25 bps, while the rate for 180 days to 210 days has been reduced by 10 bps.
- 7 days to 14 days: Reduced from 5.00% to 4.75%.
- 15 days to 45 days: Reduced from 5.50% to 5.25%.
- 46 days to 179 days: Reduced from 5.60% to 5.35%.
- 180 days to 210 days: Reduced from 6.10% to 6.00%.
Rates for longer tenures for senior citizens also remain stable, mirroring the policy for general citizens.
Retail FD Rates Remain Stable
Despite the changes in bulk deposit rates, SBI has confirmed that interest rates for retail fixed deposits (below Rs 3 crore) are unaffected. General citizens will continue to earn rates ranging from 3.05% to 6.40%, depending on the tenure. Senior citizens will still receive between 3.55% and 7.05% on their retail FDs.
The highest regular FD rate for general citizens stands at 6.40% for deposits of two years to less than three years. For senior citizens, the peak rate is 7.05% on five-year to 10-year deposits.
Premature Withdrawal Penalty
For bulk deposits, SBI has instituted a 1% premature withdrawal penalty across all tenures. This penalty will apply to all new bulk deposits, including renewals, ensuring consistency in the bank's policy.