Repo Rate: RBI reduced interest, will the common man suffer loss on FD?

The Reserve Bank of India has once again cut the repo rate. RBI Governor Sanjay Malhotra announced a 50 basis point cut in the repo rate, after which the repo rate has come down from 6 percent to 5.5 percent. Let us tell you whether it will affect the earnings on FD or not. And how much interest are the big banks of the country offering on FD?

RBI has cut the repo rate for the third time this year to strengthen the country's economy, and to motivate people to spend more. Along with this, RBI has also cut CRR by 1 percent. Since February 2025, when the repo rate has been cut. Since then, the big government, and private banks of the country have reduced the interest rate on FD. In such a situation, if experts are to believe, that even after a 0.5 percent cut in repo, banks can reduce the interest on FD.

FD has been cut so much.
According to the SBI research report, from February 2025 till now, FD has seen a cut of 30 to 70 basis points. Along with the fall in fixed deposit rates, banks are also cutting interest rates on savings accounts. The report says that banks have already reduced interest rates on savings accounts to a minimum rate of 2.70%. Experts believe that in the coming days, there may be a cut in the interest rates on FD.

Current interest rates on FD

Since February 2025, banks have reduced the interest rates on fixed deposits. Let us tell you about the current FD rates of the big banks in the country.

Banks

Axis Bank
3.00% – 7.05%
3.50% – 7.55%
Bandhan Bank
3.00% – 7.75%
3.75% – 8.25%
Bank of Baroda
4.00% – 7.10%
4.50% – 7.60%
Central Bank of India
3.50% – 7.15%
4.00% – 7.65%
HDFC Bank
3.00% – 7.05%
3.00% – 7.05%
ICICI Bank
3.00% – 7.05%
3.00% – 7.55%
IDBI Bank
3.00% – 7.00%
3.50% – 7.50%
IDFC First Banks
3.00% – 7.25%
3.50% – 7.75%
IndusInd Bank
3.50% – 7.75%
4.00% – 8.25%
Karnataka Bank
3.50% – 7.15%
3.75% – 7.55%
Kotak Mahindra Bank
2.75% – 7.15%
3.25% – 7.65%
Bank of Maharashtra
2.75% – 6.75%
3.25% – 7.25%
Punjab National Bank
3.50% – 7.10%
4.00% – 7.60%
RBL Bank
3.50% – 7.75%
4.00% – 8.25%
South Indian Bank
2.90% – 7.15%
3.40% – 7.65%
State Bank of India
3.50% – 6.90%
4.00% – 7.40%
Tamilnad Mercantile Bank
4.10% – 7.30%
4.10% – 7.80%
UCO Bank
2.90% – 7.05%
3.15% – 7.55%
Union Bank of India
3.50% – 7.15%
3.75% – 7.40%
Yes Bank
3.25% – 7.50%
3.75% – 8.25%