According to ICICI Bank, an additional 10 basis points interest is being offered to senior citizens on the Special FD Golden Year Scheme of 5 years to 10 years. Earlier 20 basis points used to get additional interest.
ICICI Bank cuts rates of Senior Citizen Special FD Scheme
private sector banks, ICICI Bank (ICICI Bank) run for senior citizens Special FD Scheme But the interest rate has been reduced. This bank runs its special scheme Golden Years FD for senior citizens. The interest rate on this scheme has been reduced by 10 basis points. In this scheme, senior citizens will now get an additional 10 basis points of interest. Earlier 20 basis points interest was available. Currently, ICICI Bank offers an additional 50 basis points interest for senior citizens. 10 basis points more interest is being given on Golden Year FD than that.
According to ICICI Bank, an additional 10 basis points interest is being offered to senior citizens on the Special FD Golden Year Scheme of 5 years to 10 years. After this new change, senior citizens are getting 6.7% interest in the Golden Years FD scheme. The new rate of FD has been implemented from 30 September.
what are the new rates
ICICI Bank has said that the new rates on Golden Year FD will be available on both types of skis. 6.7 percent interest will be given to senior citizens on newly opened FDs and on renewing old FDs. One special thing to note is that the Golden Years FD scheme will run only till 7 October 2022. Therefore, this special FD account can be opened or the old fixed deposit account can be renewed till 7 October. The Special FD scheme is applicable for FDs up to Rs 2 crore and has a tenure of 5 years from one day to 10 years.
There is also an option to close the account prematurely in ICICI Golden Years FD, but for this, a penalty of 1.10 percent will be paid. This penalty is for when the FD is closed after 5 years and one day.
When will the new rates apply
ICICI Bank has recently increased the interest rates on FDs of certain tenors by up to 25 basis points. Interest rates have been increased on FDs up to Rs 2 crore. The new rates are applicable from September 30, 2022. The Reserve Bank of India increased the repo rate by 50 basis points on 30 September 2022, after which ICICI Bank increased the FD rates. From May to September this year, the repo rate has been increased by 190 basis points. With this, the repo rate has reached a three-year high of 5.9%.
Rates will increase now
After increasing the repo rate, many banks of the country have increased the FD rate. The names of these banks are Axis Bank, Bank of India and RBL. Experts say that until the inflation rate does not come down, the repo rate is likely to increase. In such a situation, the FD will benefit the most. According to an estimate, the FD rate is going to reach 8 percent and later it can go up to 9 percent. In this way, investing in FD is proving to be the right deal right now.