SBI Hikes Rates On Retail Deposits

State Bank of India, the country’s biggest lender, has raised interest rates on retail fixed deposits up to ` 1 crore by around 10 basis points (100 basis points is equal to one per cent). The new rates came into effect from July 31. Term deposits with tenure of more than a year but less than two years will now fetch 6.7 per cent interest compared to the previous 6.65 per cent. The interest rate on deposits above two years and up to 10 years has also gone up by 10 basis points. Moreover, the interest rate on any deposit with a tenure between five and 10 years is now 6.85 per cent, up from 6.75 per cent earlier. The bank has also revised its interest rate on bulk deposits above ` 1 crore. In May this year, SBI increased its interest rates on deposits by around 25 basis points.