The most popular private Bank, ICICI has given a major shock to its customers. ICICI Bank has cut the interest rates on savings bank account deposits by 25 basis points (bps) to 3% as against 3.25%. So, the people who have a savings account of less than ₹50 lakh will face a cut in the interest rate on all deposits has been cut to 3%.
At the same time, the bank accounts with a deposit amount greater than the ₹50 lakh and above, the holders will earn an interest of 3.50%, down from 3.75% currently. On the other side, the bank with the most number of customers in the country, State Bank of India (SBI) has also reduced its savings deposit interest rate by 5 basis points (bps) to 2.7%.
SBI Chairman Rajnish Kumar said that the interest rates are going to reduce in this current scenario and this will be for both borrowers and depositors. Already on May 27, SBI had slashed its retail term deposit rates by up to 40 bps across all tenors.
