ICICI FD rates drop after RBI's rate cut: See how much you'll earn now

The Reserve Bank of India (RBI) has slashed repo rate by 50 basis points to 5.5 per cent. Reacting swiftly, ICICI Bank has reduced fixed??'deposit (FD) interest rates across several tenures.

 

What has changed?

According to the ICICI Bank website, the revised FD rates are effective June 10, 2025.

 

The bank now offers rates from 3 per cent per annum to 6.60 per cent per annum

 

The highest rate it’s offering is 6.60 per cent per annum on a tenure of 2 years 1 day to 5 years for general customers and 7.10 for senior citizens.

 

5 years tax saver FD is offered at a rate of 6.60 per cent per annum for general customers and 7.10 for senior citizens

 

Below is the detailed table of FD rate and tenures provided by the bank on its website

   

ICICI Bank FD Rate in June 2025

 

Tenure	With Premature Withdrawal
	General Citizen	Senior Citizen
7 to 45 Days	3.00%	3.50%
46 to 90 Days	4.00%	4.50%
91 to 184 Days	4.50%	5.00%
185 to 270 Days	5.50%	6.00%
271 Days to < 1 Year	5.75%	6.25%
1 Year to < 15 Months	6.25%	6.75%
15 Months to < 18 Months	6.35%	6.85%
18 Months to 2 Years	6.50%	7.00%
2 Years 1 Day to 5 Years	6.60%	7.10%
5 Years 1 Day to 10 Years	6.60%	7.10%
5Y (Tax Saver FD)	6.60%	7.10%

 

 

Why this matters

 

Yield relief: Investors locking in new FDs will earn less due to the lowered rates.

 

Senior citizen cushion: With the 50 bps senior top??'up, elderly depositors still get relatively better returns.

 

Shift in strategy: The cut nudges investors to explore alternatives like small??'savings schemes or mutual funds for higher yields.

 

What should you do?

Existing FD holders: Your current rates remain locked until maturity; only new deposits see lower rates.

 

New investors: If you're after steady returns, short-to-medium-term FDs still offer modest yields.

 

Rate??'sensitive savers: Consider laddering your investments or mixing with other instruments to boost post??'tax returns.