Shock to SBI customers: Fixed Deposit Interest Rates Cut Again, Know the New Rates

New Delhi (The Uttam Hindu): This news may be a little disappointing for millions of customers of State Bank of India (SBI). The country's largest government bank SBI has once again cut the interest rates on its fixed deposit (FD) schemes. This simply means that now customers will get less interest on their deposits than before.

According to the bank's website, this change in interest rates has become effective from May 16, 2025. It is worth noting that this is SBI's second cut in FD interest rates within a month. Earlier, the rates were also revised on April 15, 2025.

SBI has reduced interest rates by 20 basis points (bps) for retail fixed deposits of less than Rs 3 crore across all tenures. After this reduction, interest rates on FDs for general citizens will be between 3.30% to 6.70% per annum. Earlier, these rates were between 3.50% to 6.90% per annum for tenures ranging from 7 days to 10 years.

The interest rate on the bank's special Amrit Vrishti (444 days duration) scheme has also been reduced by 20 bps. For general customers, the interest rate on this scheme has been reduced from 7.05% to 6.85% now.

Interest rates on SBI's special FD schemes for senior citizens have also been revised. Senior citizens will now get an interest rate of 7.35% per annum under the special scheme. At the same time, super senior citizens (aged 80 years and above) will be offered an interest rate of 7.45% per annum. The interest rate on the bank's V-Care Deposit Scheme has also been reduced. This reduction will directly affect the income of customers making fixed deposits and they will now get lower returns.