IDBI Bank cuts rates for some fixed deposits, extends popular Utsav scheme

Lender discontinues two tenures, announces new terms for other products

IDBI Bank has reduced interest rates of special tenure fixed deposits (FD), extended the application window for its popular Utsav scheme and discontinued offers of 300 and 375 days.

 

According to its website, IDBI has adjusted the FD rates on deposits of less than Rs 3 crore. For general customers the rate now ranges from 3 per cent to 7 per cent and for senior citizens it is 3.5 per cent to 7.5 per cent. For different tenures and its rates, check this table:

 

Interest Rate (% p.a.)
Retail Term Deposits (< 3 Cr)
Maturity Slab	General Customers	Sr. Citizen
0-6 Days	NA	NA
07-30 days	3	3.5
31-45 days	3.25	3.75
46- 60 days	4.5	5
61- 90 days	4.75	5.25
91 days to 6 months	5.5	6
6 months 1 day to 270 Days	6	6.5
271 days to < 1 year	6.25	6.75
1 Year to 2 Years  (except 444 Days, 555 days & 700 Days)	6.8	7.3
> 2 Years to <3years	7	7.5
3 years to 5 years	6.5	7
>5 years to 10 years	6.25	6.75
>10 years to 20 years	4.8	5.3
Tax Saving FD
5 Years	6.5	7

 

 

The bank has also issued general terms and conditions for deposits.

 

• Tenure for Non-Resident Ordinary (NRO) Term Deposit is seven days to 10 years.

• Tenure for Non-Resident External (NRE) Term Deposit is one year to 10 years.

• Staff & Sr. Citizen rates are not applicable to NRO & NRE Term Deposits.

• No interest is paid if the deposit is held for the tenure of less than seven days, the minimum period for term deposits according to Reserve Bank of India (RBI) guidelines.

• Interest payable on prematurely withdrawn deposits will be the rate applicable for the amount and the period for which the deposit remained with the Bank (rate applicable for that tenure on the original date of the deposit).

• The bank will levy a penalty of 1 per cent, on the applicable rate for deposits closed prematurely. Such closures include the withdrawals through sweep-ins and partial withdrawals as well.

• Effective from June 10, 2024, the maximum Retail Term Deposit (RTD) threshold has been enhanced to Rs 3 crore, from previously Rs 2 crore, according to RBI directives.

 

Similarly, the rate for their special scheme, Utsav Callable FD has also been adjusted and the last date has been extended until June 30, 2025. Following are the new adjusted rates and general terms and conditions issued by the bank. 

 

Interest Rate (% p.a.)
Special Buckets	General/NRE/NRO	Sr. Citizens
444 Days	7.25	7.75
555 Days	7.3	7.8
700 Days	7	7.5

 

General terms and conditions for UTSAV FD

 

• Premature withdrawal / closure permitted.

• Staff, Senior Citizen and Super Senior Citizen Rates are not applicable to NRO & NRE term deposits

• All other features of term deposit as well as terms and conditions shall remain unchanged and are applicable for the above scheme also.

 

IDBI has also introduced new rates for its IDBI Chiranjeevi-Super Senior Citizen FD exclusive for resident individuals aged 80 years and above, the rates, tenures and general terms and conditions are as follows-

 

Interest Rate (% p.a.)
Special Buckets	Senior Citizens
444 Days	7.9
555 Days	7.95
700 Days	7.65

 

General terms and conditions

 

• Rates applicable only for resident super senior citizens aged 80 years and above

• Premature withdrawal / closure permitted.

• Retired Staff Super Senior Citizen & General Super Senior Citizen Rates are not applicable to NRO & NRE term deposits.

• IDBI Chiranjeevi-Super Senior Citizen FD rates will remain valid only for the duration of the respective Utsav FD buckets.

• All other features of term deposit as well as terms and conditions shall remain unchanged and are applicable for the above scheme also.

 

Following are the new rates for their Suvidha Tax Saving FD (5 years)

 

Suvidha Tax Saving Fixed Deposits (5 YEARS)
w.e.f. April 16, 2025	Rates
Normal Retail Rate	6.5
Senior Citizens	7