ICICI, HDFC Bank Decrease Rates of Fixed Deposit by 20 bps:

ICICI and HDFC Bank Decrease Rates of Fixed Deposit by 20 bps ICICI Bank and HDFC Bank have decreased the rates of their fixed deposit accounts below Rs. 3 crore, and by 20 basis points (bps) for some selected tenures. This is the second time these banks have decreased the FD accounts in the last 2 months. These rates for ICICI Bank are effective from May 27, 2025, and for HDFC Bank from May 23, 2025.

ICICI Bank: FD Rate Decreased for Selected Tenures

In accordance with ICICI Bank, the bank now offers annual interest rates between 3% and 6.85% for regular customers and between 3.5% and 7.35% for senior citizens. The highest interest rate the bank offers is 6.85% for regular customers and 7.35% for senior citizens, which is available on fixed deposits for a period of 18 months to 2 years. Below are the interest rates offered by ICICI Bank in fixed deposit accounts:

Tenure	With Premature Withdrawal
	General Citizen	Senior Citizen
7 to 45 Days	3.00%	3.50%
46 to 90 Days	4.25%	4.75%
91 to 184 Days	4.75%	5.25%
185 to 270 Days	5.75%	6.25%
271 Days to < 1 Year	6.00%	6.50%
1 Year to < 15 Months	6.50%	7.00%
15 Months to < 18 Months	6.60%	7.10%
18 Months to 2 Years	6.85%	7.35%
2 Years 1 Day to 5 Years	6.75%	7.25%
5 Years 1 Day to 10 Years	6.70%	7.20%
5Y (Tax Saver FD)	6.75%	7.25%

HDFC Bank: FD Rate Decreased for Selected Tenures

HDFC Bank has changed its fixed deposit (FD) interest rates starting May 23, 2025. The new rates are higher by up to 0.20% in some time periods. For regular customers, the interest rates now range from 3% to 6.85% per year. For senior citizens, the rates are slightly higher, between 3.5% and 7.35% per year. The highest interest rate you can get is:

• 6.85% per year for regular customers.
• 7.35% per year for senior customers.
• These rates are applicable to fixed deposit accounts with a tenure period of 15 to 21 months.

Below are the interest rates offered by HDFC Bank in fixed deposit accounts:

Tenure Bucket	< 3 Crore
	Interest Rate (per annum)	Senior Citizen Rates (per annum)
7 - 14 days	3.00%	3.50%
15 - 29 days	3.00%	3.50%
30 - 45 days	3.50%	4.00%
46 - 60 days	4.50%	5.00%
61 - 89 days	4.50%	5.00%
90 days < = 6 months	4.50%	5.00%
6 months 1 days < = 9 months	5.75%	6.25%
9 months 1 day to < 1 year	6.00%	6.50%
1 year to < 15 months	6.50%	7.00%
15 months to < 18 months	6.85%	7.35%
18 months to < 21 months	6.85%	7.35%
21 months - 2 years	6.70%	7.20%
2 Years 1 day to < 2 Year 11 Months	6.70%	7.20%
2 Years 11 Months - 35 Months	6.70%	7.20%
2 Years 11 Months 1 day < = 3 Year	6.70%	7.20%
3 Years 1 day to < 4 Years 7 Months	6.65%	7.15%
4 Year 7 Months - 55 months	6.65%	7.15%
4 Year 7 Months 1 day < = 5 Years	6.65%	7.15%
5 Years 1 day - 10 Years	6.40%	6.90%

How does it affect fixed deposit investors?

Even though the interest rate cuts are really minor, however, they can still affect the earnings of people who keep their money in fixed deposits for a short or medium term, especially if they are renewing them now. But senior citizens still get higher interest rates—up to 7.35%—which helps them deal with the drop in rates more easily.

Investors are advised to consider the following:

• Make a comparison between the rates of different banks before investing your money in any fixed deposit bank account.
• Spread out their deposits over different time periods to reduce the risk of changing interest rates.
• Look into other safe savings options if they want to earn more interest.

Both of these banks have updated their revised rates on FDs on their official websites, notifying customers of full details about distinct tenures and customer categories.