Bank of India FD Rates: Many public sector banks in the country offer various facilities to their customers, and Bank of India is one of them. The bank offers attractive interest rates on Fixed Deposits (FDs) to its account holders. Notably, you can open an FD account with Bank of India for a minimum tenure of 7 days. If you are considering opening a long-term FD account with this public sector bank, you can opt for a tenure of up to 10 years. Let us find out what interest rate Bank of India offers on a 12-month FD.
What is the interest rate on a 12-month FD?
Bank of India offers interest rates ranging from 6.50% to 7.15% on 12-month fixed deposits. Currently, for a 12-month (1-year) tenure, the bank offers 6.50% interest to customers under 60.
What interest rates apply to those aged 60 and 80?
For individuals aged 60 years or older, Bank of India offers 7% interest on 12-month FDs, while customers aged 80 years or older receive 7.15% interest on the same scheme. These interest rates are applicable only to deposits of less than ₹3 crore.
Significant benefits for the elderly
Bank of India offers an additional 0.50% interest on FD accounts to senior citizens compared to regular customers. For ‘super senior citizens’—individuals aged 80 years or older—the bank offers an additional 0.65% interest compared to regular customers. Bank of India offers this additional interest benefit to senior citizens and super senior citizens only on Fixed Deposit (FD) accounts with tenures ranging from a minimum of 6 months to a maximum of 3 years.
Impact of the Repo Rate on FD Interest Rates
The RBI has announced that the repo rate will remain unchanged for the fourth consecutive time. The last time the RBI adjusted the repo rate was in December, when it was cut by 0.25 per cent to 5.25 per cent. A reduction in the repo rate lowers both loan and FD interest rates. Conversely, an increase in the repo rate raises both loan and FD interest rates.