HDFC borrowers will benefit from transparent rate regime: Analysts

The merger of HDFC Ltd with HDFC Bank has been announced. Assuming it gets the regulators’ nod, it could be another 12-18 months before the process is completed. After the merger, the entity left standing will be HDFC Bank.

Lower rates for depositors

A deposit is a contract between the depositor and the institution taking the deposit.

“The terms and conditions of a deposit can’t be changed during its tenure. Hence, the interest rates and other terms for existing deposits will remain unchanged until maturity,” says Adhil Shetty, chief executive officer (CEO), BankBazaar. Hence, the merger will not affect existing