By buld_online 
HDFC Bank has announced a reduction in its interest rates for both fixed deposits (FDs) and savings accounts, effective June 10, 2025. This move comes in response to the Reserve Bank of India’s recent decision to slash the repo rate by 50 basis points from 6% to 5.5%. The rate revision is set to affect both depositors and borrowers, marking a significant shift in the bank’s interest rate strategy.
The savings account interest rates have been adjusted to a uniform 2.75% per annum, irrespective of the balance amount. Previously, balances below Rs 50 lakh accrued interest at this rate, while those above Rs 50 lakh benefited from a higher rate of 3.25%. This change reflects a 50 basis point reduction for higher balance holders, aligning all savings account holders under a single rate structure. This uniformity aims to simplify the interest calculation process for account holders.
For fixed deposits, HDFC Bank has reduced interest rates by up to 25 basis points for select tenures on deposits under Rs 3 crore. General citizens can now expect returns between 2.75% and 6.60%, while senior citizens will enjoy slightly higher rates ranging from 3.25% to 7.10%. These adjustments mean a reduction from the earlier range of 3% to 6.85% for general citizens and 3.5% to 7.35% for senior citizens.
ICICI Bank
ICICI Bank has announced its fixed deposit (FD) interest rates for 2025, offering attractive returns across various tenures with the option for premature withdrawal. For general citizens, interest rates range from 3.00% for 7–45 days to 6.60% for tenures between 2 years 1 day and 10 years, including tax saver FDs.
Senior citizens enjoy additional benefits, with rates starting at 3.50% and going up to 7.10% for longer-term deposits. Popular tenures like 1–2 years fetch between 6.25% and 6.50% for regular customers, and 6.75% to 7.00% for seniors, making it a competitive choice for conservative investors.
This decision by HDFC Bank aligns with similar actions taken by other banks like ICICI Bank, Canara Bank, and Kotak Mahindra Bank, who have also revised their FD rates following the RBI’s rate cut. The adjustments in interest rates underscore the broader impact of the central bank’s monetary policy on the financial sector and individual banking practices.
In conclusion, this series of rate adjustments by HDFC Bank responds directly to the monetary policy changes initiated by the Reserve Bank of India. The uniform savings account rate and tiered FD rates reflect an effort to balance customer satisfaction with economic conditions influenced by the central bank’s policies. These changes are expected to influence the financial strategies of both individual and institutional investors.