State Bank of India has implemented significant rate cuts on bulk fixed deposits, reducing rates by up to 25 basis points for select maturities. According to reports from Mint and Zee News, the revised rates took effect on 15 August 2026, primarily affecting deposits of ₹3 crore and above. The changes specifically target shorter-duration bulk deposits while leaving regular retail deposit rates unchanged. As per SBI's official website, the revision applies to both fresh deposits and renewals of maturing deposits, affecting customers whose bulk FDs are coming up for renewal. The immediate impact is on customers placing or renewing large-value deposits, with the biggest reductions being made on shorter-duration deposits.
For general customers, SBI has lowered interest rates by 25 basis points on bulk deposits with maturities ranging from seven days to 179 days, and 10 basis points for deposits with tenures of 180 days to 210 days. As reported by Mint and Zee News, the revised rates for general customers now range from 4.25% to 6.25% across different tenors. Following the revision, interest rates for general customers on bulk fixed deposits now range from 5.25% to 6.50%, depending on the deposit tenure. The bank has maintained rates unchanged for bulk FDs with maturities of 211 days to 10 years. For smaller deposits below ₹3 crore, SBI has not changed the interest rates, with regular FDs currently offering rates between 3.05% to 6.40% for general customers and 3.55% to 7.05% for senior citizens.
Senior citizens have also been affected by the rate cuts, with reductions of 25 basis points on deposits with tenures of seven days to 179 days and 10 basis points for deposits held for 180 days to 210 days. According to Mint and Zee News, senior citizens can currently earn between 4.75% and 6.75% on SBI bulk fixed deposits, depending on the chosen tenure. The revised rates apply to both new deposits and renewals of maturing deposits, affecting customers whose bulk FDs are coming up for renewal. For senior citizens, the current bulk FD rates range from 5.75% to 7.00%, depending on the tenure, with rates remaining unchanged for longer tenures starting from 211 days to 10 years. Depending on the tenure, senior citizens can currently earn between 5.75% and 7.00% on these deposits.
Investors should be aware of SBI's premature withdrawal rules before placing substantial amounts in bulk FDs. As reported by Mint and Zee News, the bank charges a 1% penalty when a bulk deposit is withdrawn before its maturity date, applying across all tenures and covering both new deposits and renewed deposits. This penalty structure means depositors should carefully assess their liquidity requirements before committing large sums to fixed deposits for specific periods. The bank has also implemented a ₹15 charge (plus applicable GST) on every withdrawal beyond the threshold of four free withdrawals per month. For someone placing a substantial sum in a fixed deposit, the possibility of needing the money before maturity should therefore be considered before choosing the tenure.
Despite the bulk deposit cuts, SBI has maintained its regular retail fixed-deposit rates unchanged. According to Mint and Zee News, for general customers, regular SBI FDs currently offer interest rates ranging from 3.05% to 6.40%, depending on the tenure, while senior citizens receive an additional interest benefit with rates ranging from 3.55% to 7.05%. The bank's latest adjustment is focused specifically on the bulk-deposit segment, particularly shorter-term deposits, leaving retail FD customers unaffected by the rate changes. The decision on whether to renew and for how long will also depend on when the depositor may need access to the money. Customers planning to invest in FDs or renew existing deposits are advised to check the updated rates and tenures before making any commitments.
