Bank of India (BoI), on Thursday, slashed interest rate, effective July 2, on fixed deposits by 0.25 percentage point on select maturities while Union Bank of India (UBI) has announced reduction in rate, effective July 1, for farm loans by up to 1.75 percentage points.
Bank of India’s decision to cut interest rates on FDs incidentally comes four days after State Bank of India raised rates on select fixed deposits by 0.25 percentage point.
BoI informed the BSE that interest rate on fixed deposit for 2-3 years has been reduced by 0.25 percentage point to 9 per cent, while 1,111-days term deposit will attract 9.10 per cent as against 9.30 per cent.
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With the revision, BoI’s interest rate on 3-10 years fixed deposit would come down to 9 per cent from 9.25 per cent.