HDFC Bank cuts interest rates on FDs, savings accounts from June 10 after RBI repo cut

HDFC Bank has declared a decrease in its interest rates for both fixed deposits (FDs) and savings accounts, effective from June 10, 2025. This decision is a reaction to the Reserve Bank of India’s recent move to lower the repo rate by 50 basis points from 6% to 5.5%. The adjustment in rates will impact both depositors and borrowers, indicating a notable change in the bank’s interest rate policy.

The interest rates for savings accounts have been standardized to a uniform 2.75% per annum, regardless of the balance amount. Previously, balances below Rs 50 lakh earned interest at this rate, while those exceeding Rs 50 lakh received a higher rate of 3.25%. This modification signifies a 50 basis point reduction for higher balance holders, bringing all savings account holders under a single rate framework. This standardization is intended to streamline the interest calculation process for account holders.

Regarding fixed deposits, HDFC Bank has lowered interest rates by up to 25 basis points for certain tenures on deposits below Rs 3 crore. General citizens can now anticipate returns ranging from 2.75% to 6.60%, while senior citizens will benefit from slightly elevated rates between 3.25% and 7.10%. These changes represent a decrease from the previous range of 3% to 6.85% for general citizens and 3.5% to 7.35% for senior citizens.

ICICI Bank has also revealed its fixed deposit (FD) interest rates for 2025, providing appealing returns across various tenures with the option for premature withdrawal. For general citizens, interest rates vary from 3.00% for tenures of 7–45 days to 6.60% for periods between 2 years 1 day and 10 years, including tax saver FDs. Senior citizens receive additional advantages, with rates commencing at 3.50% and reaching up to 7.10% for longer-term deposits. Popular tenures such as 1–2 years yield between 6.25% and 6.50% for regular customers, and 6.75% to 7.00% for seniors, making it an attractive option for conservative investors.