If you’re looking for a safe place to invest your money, here’s a recent update from India’s largest bank, SBI.
While many banks are reportedly cutting interest rates, SBI has gone the opposite way and increased rates on select fixed deposits.
This change mainly affects bulk deposits of ₹3 crore or more.
For smaller deposits, rates will remain the same. Let’s break down what this means for you.
Who Benefits from the Rate Hike?
The rate increase applies only to individuals or entities making a single FD of ₹3 crore or more.
This new system will be effective nationwide from March 15, 2026.
Here’s how the revised rates look for bulk deposits:
46 to 179 days: 5.10% → 5.35%
180 days to less than 1 year: 5.60% → 5.85%
1 year to less than 2 years: 6.25% → 6.50% (biggest benefit here)
Extra Benefit for Senior Citizens
SBI continues to give higher interest to senior citizens, making their investments even more rewarding:
46 to 179 days: 5.60% → 5.85%
180 days to less than 1 year: 6.10% → 6.35%
1 year to less than 2 years: 6.75% → 7%
This 7% rate is a significant boost for senior citizens, helping them earn more from safe investments.
What About Small Depositors?
If your FD is less than ₹3 crore, there’s no change.
SBI will continue to offer the existing interest rates.
Banks usually increase rates for large deposits to attract significant funds and maintain their cash flow.
Conclusion
SBI’s rate hike shows its focus on large investors and bulk deposits.
A 0.25% increase may seem small, but for deposits above ₹3 crore, it can mean lakhs of extra interest.
For senior citizens, hitting 7% interest is excellent news.
If you have a large capital base or manage institutional funds, this is a great time to benefit from SBI’s bulk FD rates.