Many banks including ICICI Bank and Indian Bank have raised their fixed deposit (FD) interest rates this month. Amid rising inflation, when the Reserve Bank of India (RBI) increased the repo rate from 5.25% to 5.50% early this month, some banks raised their deposit rates. The possibility of further FD rate hikes can’t also be ruled out.
However, banks may not increase rates on all of their FD tenures and they may also take from some days to years to increase the rates. The FD rate hike may also vary from bank to bank.
