Customers to get inflation-beating returns from FDs with hiked FD interest rate

MUMBAI, 13 DECEMBER, 2022 (GPN): After the recent Repo rate increase by RBI, AU Small Finance Bank, the largest Small Finance Bank of India, has announced an increase in Fixed Deposit and Savings Account interest rates so that customers can get maximum return on their investments.

The Bank has hiked its peak FD rate for retail deposits by 25 basis points, from existing 7.5% to 7.75% for regular customers and 8% to 8.25% for senior citizens. With this hike, the bank is offering one of the most competitive FD interest rates in the banking industry. The Bank had earlier hiked FD rates by up to 60 basis points for retail deposits in the month of October 2022. Given the rising inflation, AU Bank provides an opportunity to customers, particularly senior citizens to get inflation-beating returns from their Fixed Deposits.

The Bank has also increased its savings deposit rate to 7.25% p.a. for savings balances from ₹ 1 Cr to ₹10 Cr. The maximum increase of 1.25% is announced for savings balances from ₹5Cr to ₹10 Cr where bank increased savings deposit rate from 6% to 7.25%.

Commenting on the rate hike, Mr. Uttam Tibrewal, Executive Director, AU Small Finance Bank, said, “With the recent spate of repo rate hikes announced by the RBI, we have increased FD and Savings rates to extend the maximum benefit to our customers. Currently, we are offering one of the most competitive rates on Fixed Deposits and Savings Deposits in the industry. As a customer centric bank, we will continue to bring the best offerings for our customers.”

AU Small Finance Bank’s revised fixed deposit rates

1	Domestic & NRE**/NRO Term Deposits Below Rs 2.00 Crore [w.e.f. 12-Dec-2022]
	Tenure Bucket		Revised Interest Rate (% p.a.)		Revised Interest Rate – Annualized (% p.a.)
	7 Days to 1 Month 15 Days		3.75%		–
	1 Month 16 Days to 3 Months		4.25%		–
	3 Months 1 Day to 6 Months		5.00%		5.09%
	6 Months 1 Day to 12 Months		6.10%		6.24%
	12 Months 1 Day to 15 Months		7.35%		7.56%
	15 Months 1 Day to 18 Months		7.20%		7.40%
	18 Months 1 Day to 24 Months		7.20%		7.40%
	24 Months 1 Day to 36 Months		7.75%		7.98%
	36 Months 1 Day to 45 Months		7.75%		7.98%
	45 Months 1 Day to less than 60 Months		7.20%		7.40%
	60 Months to 120 Months		7.20%		7.40%
2	Non-callable rates for Retail Fixed Deposits of INR >=1 Crore to < 2 Crore (not for NRIs) [w.e.f. 12-Dec-2022]
	Tenure Bucket	Revised Interest Rate (% p.a.)		Revised Interest Rate – Annualized (% p.a.)
	12 Months 1 Day – 15 Months	7.45%		7.66%
	15 Months 1 Day – 18 Months	7.30%		7.50%
	18 Months 1 Day – 24 Months	7.30%		7.50%
	24 Months 1 Day – 36 Months	7.85%		8.08%
3	Retail Fixed Deposit Rates for Resident Indian Senior Citizen Customers [w.e.f. 12-Dec-2022]
	Tenure Bucket		Revised Interest Rate (% p.a.)		Revised Interest Rate – Annualized (% p.a.)
	7 Days to 1 Month 15 Days		4.25%		–
	1 Month 16 Days to 3 Months		4.75%		–
	3 Months 1 Day to 6 Months		5.50%		5.61%
	6 Months 1 Day to 12 Months		6.60%		6.77%
	12 Months 1 Day to 15 Months		7.85%		8.08%
	15 Months 1 Day to 18 Months		7.70%		7.93%
	18 Months 1 Day to 24 Months		7.70%		7.93%
	24 Months 1 Day to 36 Months		8.25%		8.51%
	36 Months 1 Day to 45 Months		8.25%		8.51%
	45 Months 1 Day to less than 60 Months		7.70%		7.93%
	60 Months to 120 Months		7.70%		7.93%
4	Domestic & NRE**/NRO Retail Monthly Payout Fixed Deposits (for amounts less than INR 2 Crore) [w.e.f. 12-Dec-2022]
	Tenure Bucket		Revised Interest Rate (% p.a.)		Revised Interest Rate – Annualized (% p.a.)
	7 days to 1 Month 15 Days		–		–
	1 Month 16 Days to 3 Months		–		–
	3 Months 1 Day to 6 Months		4.98%		5.47%
	6 Months 1 Day to 12 Months		6.07%		6.56%
	12 Months 1 Day to 15 Months		7.31%		7.80%
	15 Months 1 Day to 18 Months		7.16%		7.65%
	18 Months 1 Day to 24 Months		7.16%		7.65%
	24 Months 1 Day to 36 Months		7.70%		8.19%
	36 Months 1 Day to 45 Months		7.70%		8.19%
	45 Months 1 Day to less than 60 Months		7.16%		7.65%
	60 Months to 120 Months		7.16%		7.65%

** For NRE Fixed Deposit: tenures of 12 months 1 day & above are applicable.

 

5     Interest Rates on Domestic / NRE / NRO Savings Bank Deposits w.e.f. 12-Dec-2022
Savings Account Incremental Amount slab	Rate of Interest Applicable (per annum)
Balances less than INR 1 Lac	3.50%
Balances from INR 1 Lac to less than INR 10 Lacs	5.00%
Balances from INR 10 Lacs to less than INR 25 Lacs	6.00%
Balances from INR 25 Lacs to less than INR 1 Crore	7.00%
Balances from INR 1 Crore to less than INR 10 Crores	7.25%

• Savings Account interest will be calculated on a daily basis & paid at monthly intervals (i.e. at the end of each month).
• Interest rates mentioned are applicable for the incremental balances that are present corresponding to the amount slab mentioned.

About AU Small Finance Bank:

AU Small Finance Bank Limited (AU SFB) is a scheduled commercial bank, a Fortune India 500 Company and the largest Small Finance Bank (SFB) in the country. Starting its journey from the hinterlands of Rajasthan, today AU SFB is the largest Small Finance Bank with a deep understanding of the rural and semi-urban markets that has enabled it to build robust business model facilitating inclusive growth. With 27+ years legacy of being a retail focused and customer- centric institution, AU started its banking operations in April 2017 and has now established operations across 1,000 banking touchpoints while serving 33.3 Lakh customers in 20 States & 2 Union Territories with an employee base of 28,677 employees. As on 30^th September 2022, the Bank has a Shareholders’ Funds of ₹10,114 Cr, Deposit base of ₹58,335 Cr and Gross Advances of ₹52,452 Cr. AU Bank enjoys the trust of marquee investors and is listed at both the leading stock exchanges viz. NSE and BSE. It has consistently maintained a high external credit rating from all major rating agencies like CRISIL, CARE Ratings and India Ratings.