1. Axis Bank cuts bulk deposit rates by 25 bps

Axis Bank cuts bulk deposit rates by 25 bps

Country's third-largest private sector lender Axis Bank today announced a rate cut of up to 0.25 per cent on its bulk deposits across three different maturities.

By: | Mumbai | Updated: July 27, 2015 8:37 PM
Axis bank

The revision, which comes amid a trend of downward movement in interest rates in the system, is applicable only on bulk deposits of over Rs 5 crore, Axis Bank said. (Express Photo)

Country’s third-largest private sector lender Axis Bank today announced a rate cut of up to 0.25 per cent on its bulk deposits across three different maturities.

The revision, which comes amid a trend of downward movement in interest rates in the system, is applicable only on bulk deposits of over Rs 5 crore, the bank said.

A bank spokesperson said the rate offering in deposits for over six-months but under nine months has been revised down by 0.25 per cent to 7.50 per cent, while the same for over one-year but under two-years has been cut 0.15 per cent to 8 per cent.

In its recently announced results, the bank had said bulk deposits account for 21 per cent of its deposit base, saying the retail term and demand deposits are at 79 per cent.

The interest rates in the system have been on a declining trend for the last few months, which have seen the RBI cut its key rates thrice by a cumulative 0.75 per cent.

Bankers have been complaining of credit growth being low and carrying excess liquidity.

Tags: Axis Bank
  1. N
    Narendra M
    Jul 28, 2015 at 7:54 am
    Though Axis Bank has cut bulk deposit interest rate, we notice a general decrease in rates of interest on bank fixed deposits of different maturity. However, this cut in bulk deposit rate does not indicate any decrease in rate of inflation, especially, fall in consumer price index or CPI. Hence any news about a cut in interest rate on deposits is not very good news for senior citizens who are not pensioners but depend mainly on interest income as a source of income.
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