In a very worrying move for many customers, ICICI Bank has reduced interest rates on both fixed deposits and savings accounts. Following the same actions of other major banks in India like SBI as well as HDFC Bank, the bank is now moving with the tide towards a low-interest-rate regime as far as Indian banking is concerned.
Key Changes in Savings Account Interest Rates
ICICI Bank has slashed its savings account interest rates by 25 basis points (bps). Below is.
- Balances below ₹50 lakh: Interest reduced from 3% to 2.75% per annum.
- Balances of ₹50 lakh and above: Interest reduced from 3.50% to 3.25% per annum.
It means daily closing balances would be taken to calculate those rates, which also apply to small depositors.
Revised Fixed Deposit (FD) Rates – Major Cuts Applied
The bank has also trimmed FD interest rates by up to 50 basis points, effective from April 17, 2025. Here’s what investors can now expect:
For General Citizens:
- 3% to 7.05% (varies by tenure)
For Senior Citizens:
- 3.5% to 7.55% (varies by tenure)
Detailed FD Rate Changes
- 30 to 45 days: Reduced from 3.50% to 3%
- 61 to 90 days: Reduced from 4.50% to 4.25%
- 15 to 18 months: Reduced from 7.25% to 6.80%
- 18 months to 2 years: Reduced from 7.25% to 7.05%
- 2 years 1 day to 5 years: Reduced from 7% to 6.90%
- 5 years 1 day to 10 years: Reduced from 6.90% to 6.80%
- 5-year tax-saving FD: Reduced from 7% to 6.90%