HDFC cuts interest rates on FDs by 0.20%, new interest rates to come into effect from October 22

 HDFC cuts interest rates on FDs by 0.20%, new interest rates to come into effect from October 22

Now that companies have enough money, they are constantly lowering interest on deposits

At the same time, banks and NBFCs are cutting interest rates on loans

If there is a loss to the depositors then the borrowers are getting benefit

Leading housing finance company HDFC Ltd has slashed interest rates on FDs. With this customers will now get less interest on their deposit. The interest rate has been reduced from 0.10% to 0.20%, the company said. This rate will be applicable from Thursday i.e. 22nd October. This information is provided by the company.

This is how much interest will be earned during this period

Investors will now get 5.7% interest on a 15-month deposit after HDFC LTD cut interest rates. 5.8% interest will be paid on 22 months deposit. The interest will be 5.75% on a 30-month deposit, 6.1% on a 44-month deposit and 6.25% on a 66-month deposit. Investors will have the option to charge interest on a monthly, quarterly, half-yearly and yearly basis.

You will get a little more interest than the post office

If the investor wants to put his money in a fixed deposit for a period of 1-3 years, he will get a much higher interest rate than the HDFC LTD post office. The annual interest rate on post office deposits is 5.5%. However, the post office gets 6.7% interest on a five-year deposit. This is about 45bps or 0.45% higher than HDFC LTD.

No reduction in post office interest

The post office did not cut interest rates in the October-December quarter. So it is still more attractive than other deposits. Since June this year, HDFC LTD has quadrupled interest rates on deposits. Financial experts believe that interest rates on corporate deposits are declining. This is because banks and NBFCs have a lot of liquidity.

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Many banks and NBFCs cut interest rates

Recently, many banks and other companies have reduced interest rates on fixed deposits. In addition, interest rates on all types of loans have been reduced. In such a scenario, interest rates on loans and deposits will continue to decline in the near future. However, interest rates on loans and deposits have been low for many years. However, some companies still pay interest rates of up to 9% on deposits.