Bank Deposit Rules: If you are planning to move funds from your savings account to a Fixed Deposit (FD), this news is relevant for you. The Reserve Bank of India (RBI) has introduced significant changes to the regulations governing bank deposit interest rates. The RBI has issued a new directive that will come into effect on October 1, 2026. The primary objective is to bring transparency to bank FD interest rates and offer better opportunities to customers.
Under the RBI’s guidelines, banks will now be required to offer uniform FD interest rates across all branches. Banks will no longer be permitted to offer varying interest rates; this eliminates the possibility of receiving different rates based on the city or specific bank branch. The RBI is not altering the actual interest rates, so investors need not worry. Investors can still maximise their returns on FDs by investing with banks like SBI and PNB.
RBI Clarifies
The RBI has clarified that the general public—specifically those opening FDs worth less than ₹3 crore—need not be concerned about these changes. The new rules do not mean FD interest rates will fluctuate starting October 1. Existing FDs will remain unaffected, and their interest rates will not change. The RBI has specified that single deposits of ₹3 crore or more will be classified as “bulk deposits,” for which separate regulations will apply.
Find out the interest rate SBI offers on 2-year FDs
SBI, the country’s largest public sector bank, offers interest rates ranging from 6.40% to 7.05% on 2-year FDs. For 2-year (24-month) FD accounts, the bank offers an interest rate of 6.40% to customers aged up to 59 years. Customers over 60 receive an interest rate of 6.96% on 2-year fixed deposits (FDs). Additionally, customers aged 80 years or older are offered an interest rate of 7.05% on 2-year FDs. Please note that these rates apply to FDs of less than ₹3 crore.
What interest rate does PNB offer on 2-year FDs?
PNB offers its customers interest rates ranging from 6.30% to 7.10% on 2-year FDs. For a 2-year (24-month) tenure, customers up to the age of 59 receive 6.30% interest. Customers aged 60 years or older are offered 6.30% interest on the 2-year FD scheme. Meanwhile, customers aged 80 years or older receive 7.10% interest on 2-year FD accounts. These rates apply to deposits of less than ₹3 crore.
Find out where you get better returns
For general customers, SBI’s interest rate is higher than PNB’s. However, super senior citizens receive 7.10% interest at PNB, which is higher than the 7.05% offered by SBI. Therefore, before opening an FD, compare both banks’ interest rates based on your age and investment amount.
SBI last revised its interest rates in December 2025
SBI last revised the interest rates for its FD schemes in December 2025. Since then, SBI has made no changes to the interest rates offered on FD accounts.