has increased fixed deposit (FD) interest rates after a gap of two months. The bank has hiked FD rates by up to 40 basis points, and the new interest rates are effective from August 18, 2022. These rates are applicable for FD amounts less than Rs 2 crore.

According to the HDFC Bank website, one year to two years tenure will now earn 5.50 percent from 5.35 percent, an increase of 15 basis points. Tenure of two years, one day to three years will continue to earn 5.50 percent. The bank has hiked interest rate by 40 bps on tenure between three-year one day to five years to 6.10 percent from 5.70 percent earlier.

Latest HDFC Bank FD interest rates

Source: HDFC Bank website

Banks raise FD rates

On August 8, 2022, the Reserve Bank of India (RBI) increased the repo rates by 50 basis points; this is the third time the central bank has hiked key rates since May 2022. Banks have been hiking FD rates since then, which is good news for investors who have been earning decadal low interest rates.

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