Page 4 - Bank Deposits

Deposit growth picked up pace, credit offtake moderated in August

The data for both credit and deposit excludes the impact of the merger of HDFC with HDFC Bank in July 2023

Bank deposit growth touches six-yr high of 13.5% in fortnight ended Aug 11

Deposit growth in banks reached a six-year high of 13.5 per cent in the fortnight ended August 11, a report said on Monday. Care Edge Ratings said it is the first time since 2017 that the deposit growth has crossed 12.5 per cent. Over the past few months, deposit growth has been half of credit growth, and many lenders have had to hike rates to attract depositors. Credit growth increased 19.7 per cent during the fortnight, driven by the merger between HDFC and HDFC Bank, the report said, adding that it would have been 14.8 per cent if not for the USD 40 billion-amalgamation. In case of deposit growth, the merger impact was more limited, the rating agency said. According to the rating agency, had the HDFC deal not happened, the deposit growth rate would have been 12.8 per cent because of the mortgage major HDFC's reliance on other avenues beyond deposits for its liabilities. The scrapping of Rs 2,000 denomination notes and their subsequent depositing had helped banks with deposits,

Commercial banks' deposit growth nearly at 7-year high, shows RBI data

Deposit growth hit 14.12% on 6 Jan, 2017, months after demonetisation of Rs 1000 currency note and the then Rs 500 note which was announced on 8 November 2016

Withdrawal of Rs 2,000 notes pushes deposit to six-year high in June

Withdrawal of Rs 2,000 notes by Reserve Bank on May 19 and the subsequent near total return of the currency to the system has buoyed deposit accretion to a six-year high of Rs 191.6 lakh crore in June, according to a report. Earlier this month, the RBI said more than three-fourths of the total 3.62 lakh crore of Rs 2,000 bank notes have come back to the system by way of deposits (over 85 per cent) and the rest as note exchanges. According to Sanjay Agarwal, a senior director with Care Ratings, deposits witnessed a healthy on-year growth of 13 per cent to Rs 191.6 lakh crore, which is the highest in the past six years (since March 2017) in the fortnight ending June 30, partly supported by the withdrawal of the Rs 2,000 currency notes and higher interest rates on deposits. Deposits rose 13 per cent in the reporting fortnight and sequentially, it expanded by 3.2 per cent to Rs 191.6 lakh crore and in absolute terms, deposits rose by Rs 22 lakh crore in the trailing 12-month period when

Deposit growth hits 6-yr high on Rs 2000 note withdrawal, higher FD rates

In absolute terms, bank deposits have increased by Rs 22 trillion in the trailing twelve-month period

Credit grows by 16.22% YoY and bank deposits 12.96%, shows RBI data

Besides robust demand across segments, rise tied to quarter-end business also pushed the loan volumes in fortnight, bankers said

Rs 2,000 notes withdrawal: Bank deposits rise by Rs 3.26 trn in fortnight

Credit offtake has remained robust even amid the significant rise in interest rates, and global uncertainties related to geo-political, and supply chain issues

Bank NIMs to compress 10-120 bps in FY24: Rating agencies CRISIL and ICRA

With a healthy loan profile, credit costs fall further from 0.7% in FY23

Small banks vs private/PSU banks: Where should you lock your money?

Here are some key points to consider when making your decision

Why spate of bank deposit rate hikes could be a thing of the past

Around 85% of the Rs 2000 notes are deposited in the bank accounts and not exchanged for smaller denominations. Thus, bank deposits are likely to increase by atleast Rs 2 lakh crore

Deposits shrink Rs 59,623 cr, credit down Rs 6k cr in May 19 fortnight

CARE Ratings said the credit-to-deposit ratio has been generally trending upward since the latter part of FY22

Explained: What are the tax implications of depositing Rs 2,000 notes?

Are you depositing Rs 2,000 notes in the bank? Will your deposits be monitored? Will you need to pay any tax on it? How can you avoid a tax notice on these deposits? Read to find the answer

Interest rates on fresh term deposits and loans dip in April, shows data

The rise in rates seems to have been arrested for now at the end of May. Deposits coming from the withdrawal of the Rs 2,000 note may improve liquidity

Bank credit grows at a steady 15.5% YoY in early May, shows RBI data

Deposit mobilisation improves with 10.4% YoY growth

Banks to launch 100 days campaign to trace, settle unclaimed deposits: RBI

The Reserve Bank of India on Friday said a special 100 days campaign will be launched under which banks trace and settle their top 100 deposits in every district of the country. The banks will commence the campaign from June 1, 2023. Balances in savings/current accounts which are not operated for 10 years, or term deposits not claimed within 10 years from date of maturity are classified as "unclaimed deposits". These amounts are transferred by banks to "Depositor Education and Awareness" (DEA) Fund maintained by the Reserve Bank of India. "The Reserve Bank of India today announced a 100 Days 100 Pays' campaign for banks to trace and settle the top 100 unclaimed deposits of every bank in every district of the country within 100 days," the central bank said in a statement. This measure, it added, will complement the ongoing efforts and initiatives by the Reserve Bank to reduce the quantum of unclaimed deposits in the banking system and return such deposits to their rightful ...

Citi India plans to launch sustainability-linked deposits in coming days

Money raised from these deposits will be invested by Citi to help multinational customers meet their environmental, social and governance obligations in India

US bank deposits fall $76.2 bn, led by large institutions: Fed data

Meantime, commercial bank lending rose $13.8 billion last week on a seasonally adjusted basis

Flows into NRI deposits jump 2.5x in April-February to $6.4 billion

Outstanding deposits decline in Feb 2023 over Jan 2023

Flows into NRI bank deposits in India top $6 bn mark in April 2022-Feb 2023

Outstanding deposits decline in Feb 2023 over Jan 2023

Heirs must know what you own to claim wealth: HNIs should opt for trusts

Appoint nominees and write a Will to make the transfer hassle-free