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Fixed deposit interest cuts amid RBI's new rate regime: Check latest FD rates of ICICI, Canara, HDFC Bank and more
9 min read | Updated on July 03, 2025, 11:56 IST
SUMMARY
After the Reserve Bank of India (RBI) cut the repo rate by 50 basis points (bps) on June 6, 2025, banks and financial institutions have been announcing revised interest rates for fixed deposits (FDs) below ₹3 crore. Major banks including the HDFC Bank and the ICICI Bank have announced interest rate cuts on deposits.
HDFC Bank revised its interest rates at least twice after the repo rate cut announced in April 2025,
Many banks have already announced fixed deposit (FD) rate cuts after the Reserve Bank of India (RBI) cut the key interest rate (repo) by 50 basis points on June 6, 2025. This was the third repo rate cut announced by the RBI this year, which adds up to a total reduction of 100 bps in 2025. The repo rate now stands at its lowest in three years.
As banks and financial institutions change their rates to align with the monetary policy decisions of the central bank, the market already expected FD rates to fall.
Let’s look at the revised interest rates of the major banks on FDs below ₹3 crore:
Canara Bank FD interest rates
Canara Bank recently announced fresh interest rates effective June 9, 2025. After revision, the bank offers interest rates between 3.5% and 6.6% for general citizens and between 4% and 7.1% for senior citizens on FDs below ₹3 crore. The highest rate of 6.6% and 7.1% is for the special FD with a tenure of 444 days.
Canara Bank FD rates June 2025:
| Tenure | General Public (%) | Senior Citizen (%) |
|---|---|---|
| 7 Days to 45 Days | 3.50 | 4.00 |
| 46 Days to 90 Days | 4.50 | 5.00 |
| 91 Days to 179 Days | 4.75 | 5.25 |
| 180 Days to 269 Days | 5.75 | 6.25 |
| 270 Days to less than 1 Year | 6.00 | 6.50 |
| 1 Year & above to 1 year 3 months Only | 6.50 | 7.00 |
| 444 Days | 6.60 | 7.10 |
| Above 1 Year 3 months to less than 2 Years | 6.50 | 7.00 |
| 2 Years & above to less than 3 Years | 6.50 | 7.00 |
| 3 Years & above to less than 5 Years | 6.50 | 7.00 |
| 5 Years & above to 10 Years | 6.50 | 7.00 |
HDFC Bank FD interest rates
HDFC Bank revised its interest rates at least twice after the repo rate cut announced in April 2025. Once again, the bank has cut its FD interest rates, which now stand between 2.75% and 6.60% for general citizens and between 3.25% and 7.10% for senior citizens. The highest interest rates are for the tenures of 15 months to 18 months and 18 months to 21 months. The revised rates are effective from June 10, 2025.
HDFC Bank FD rates June 2025:
| Tenor Bucket | General Public (%) | Senior Citizen (%) |
|---|---|---|
| 7 - 14 days | 2.75 | 3.25 |
| 15 - 29 days | 2.75 | 3.25 |
| 30 - 45 days | 3.25 | 3.75 |
| 46 - 60 days | 4.25 | 4.75 |
| 61 - 89 days | 4.25 | 4.75 |
| 90 days <= 6 months | 4.25 | 4.75 |
| 6 months 1 day <= 9 months | 5.50 | 6.00 |
| 9 months 1 day to < 1 year | 5.75 | 6.25 |
| 1 year to < 15 months | 6.25 | 6.75 |
| 15 months to < 18 months | 6.60 | 7.10 |
| 18 months to < 21 months | 6.60 | 7.10 |
| 21 months - 2 years | 6.45 | 6.95 |
| 2 Years 1 day to < 2 Year 11 Months | 6.45 | 6.95 |
| 2 Years 11 Months - 35 Months | 6.45 | 6.95 |
| 2 Years 11 Months 1 day <= 3 Year | 6.45 | 6.95 |
| 3 Years 1 day to < 4 Years 7 Months | 6.40 | 6.90 |
| 4 Year 7 Months - 55 Months | 6.40 | 6.90 |
| 4 Year 7 Months 1 day <= 5 Years | 6.40 | 6.90 |
| 5 Years 1 day - 10 Years | 6.15 | 6.65 |
Kotak Mahindra Bank FD rates
Kotak Mahindra Bank revised its FD rates recently. Its updated rates stand at between 2.75% and 6.6% for general citizens and 3.25% and 7.1% for senior citizens. The highest rate is for the tenure of 391 days to 23 months, and the revised rates came into effect on June 9, 2025.
Kotak Mahindra Bank FD rates June 2025:
| Maturity Period | Regular (%) | Senior Citizen (%) |
|---|---|---|
| 7 - 14 Days | 2.75 | 3.25 |
| 15 - 30 Days | 3.00 | 3.50 |
| 31 - 45 Days | 3.25 | 3.75 |
| 46 - 90 Days | 3.50 | 4.00 |
| 91 Days | 5.00 | 5.50 |
| 92 Days - 179 Days | 4.25 | 4.75 |
| 180 Days | 6.50 | 7.00 |
| 181 Days to 269 Days | 5.75 | 6.25 |
| 270 Days | 5.75 | 6.25 |
| 271 Days to 363 Days | 6.00 | 6.50 |
| 364 Days | 6.00 | 6.50 |
| 365 Days to 389 Days | 6.25 | 6.75 |
| 390 Days (12 months 25 days) | 6.50 | 7.00 |
| 391 Days - Less than 23 Months | 6.60 | 7.10 |
| 23 Months | 6.60 | 7.10 |
| 23 months 1 Day - less than 2 years | 6.50 | 7.00 |
| 2 years - less than 3 years | 6.40 | 6.90 |
| 3 years and above but less than 4 years | 6.40 | 6.90 |
| 4 years and above but less than 5 years | 6.40 | 6.90 |
| 5 years and above up to 10 years | 6.25 | 6.75 |
IDFC Bank
After IDFC Bank revised its FD interest rates recently, the new rates offered stand between 3% and 7% for general citizens and between 3.5% and 7.50% for senior citizens. The highest rate is for the tenure of 425 days. The new rates are applicable from June 6, 2025.
IDFC Bank FD rates June 2025:
| Tenor Bucket | General Public (%) | Senior Citizen (%) |
|---|---|---|
| 7 - 14 days | 3.00 | 3.50 |
| 15 - 29 days | 3.00 | 3.50 |
| 30 - 45 days | 3.00 | 3.50 |
| 46 - 90 days | 4.50 | 5.00 |
| 91 - 180 days | 4.50 | 5.00 |
| 181 days – less than 1 year | 5.50 | 6.00 |
| 1 year | 6.25 | 6.75 |
| 1 year 1 day– 370 days | 6.50 | 7.00 |
| 371 days – 424 days | 6.75 | 7.25 |
| 425 days | 7.00 | 7.50 |
| 426 days – 500 days | 6.75 | 7.25 |
| 501 days – 2 years | 6.75 | 7.25 |
| 2 years 1 day – 3 years | 6.25 | 6.75 |
| 3 years 1 day – 5 years | 6.00 | 6.50 |
| 5 years 1 day – 10 years | 6.00 | 6.50 |
ICICI Bank
ICICI Bank was among the first ones to cut FD interest rates after the RBI’s announcement. The bank now offers rates between 3% and 6.6% for the general public and between 3.5% and 7.1% for senior citizens. The highest interest rate is for the tenures of 2 years to 5 years and 5 years to 10 years. The new rates are applicable from June 9, 2025.
ICICI Bank FD rates June 2025:
| Tenure | General Citizen (%) | Senior Citizen (%) |
|---|---|---|
| 7 to 45 Days | 3.00 | 3.50 |
| 46 to 90 Days | 4.00 | 4.50 |
| 91 to 184 Days | 4.50 | 5.00 |
| 185 to 270 Days | 5.50 | 6.00 |
| 271 Days to < 1 Year | 5.75 | 6.25 |
| 1 Year to < 15 Months | 6.25 | 6.75 |
| 15 Months to < 18 Months | 6.35 | 6.85 |
| 18 Months to 2 Years | 6.50 | 7.00 |
| 2 Years 1 Day to 5 Years | 6.60 | 7.10 |
| 5 Years 1 Day to 10 Years | 6.60 | 7.10 |
| 5Y (Tax Saver FD) | 6.60 | 7.10 |
Indian Bank FD rates
Indian Bank is now offering interest rates between 2.80% and 6.9% for general citizens and between 3.25% and 7.40% for senior citizens. The revised rates came into effect on June 9, 2025. The highest rate is offered for the tenure of 444 days.
Indian Bank FD rates June 2025:
| Period / Tenor of Deposit | General Public (%) | Senior Citizen (%) |
|---|---|---|
| 7 days to 14 days | 2.80 | 3.30 |
| 15 days to 29 days | 2.80 | 3.30 |
| 30 days to 45 days | 3.00 | 3.50 |
| 46 days to 90 days | 3.25 | 3.75 |
| 91 days to 120 days | 3.50 | 4.00 |
| 121 days to 180 days | 3.85 | 4.35 |
| 181 days to less than 9 months | 4.50 | 5.00 |
| 9 months to less than 1 year | 4.75 | 5.25 |
| 1 year | 6.10 | 6.60 |
| Above 1 year to less than 2 years | 6.60 | 7.10 |
| (Except 444 & 555 Days) | ||
| 444 Days | 6.90 | 7.40 |
| 555 Days | 6.80 | 7.30 |
| 2 years to less than 3 years | 6.40 | 6.90 |
| 3 years to less than 5 years | 6.25 | 6.75 |
| 5 year | 6.00 | 6.50 |
| Above 5 years | 6.00 | 6.50 |
When the RBI cuts the repo rate, borrowing becomes cheaper for banks. Thus, banks don’t need more money, leading to lower deposit rates. However, banks reduce lending rates as well.
Many more banks are expected to announce FD interest rate cuts in the upcoming days. Further, banks are expected to revise their rates multiple times to align with the jumbo repo rate cut of 50 bps.
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