RBI fixed deposit rules changes: Could this impact FD interest rates for customers? We explain…
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- RBI finalized rules under its Liquidity Coverage Ratio (LCR) framework allowing banks to charge differential interest rates on bulk deposits based on liquidity risk profile, effective October 1, 2025
- Banks must publish bulk-deposit interest rates on their websites by 10:00 am each business day, with a 10-minute grace window to 10:10 am, and must offer identical rates across all branches for deposits of similar amount accepted on the same date
- The framework explicitly bars discrimination between deposits of the same size and applies to both domestic rupee deposits and non-resident rupee deposits
- HDFC Bank allegedly paid Maharashtra State Road Development Corporation (MSRDC) ₹45 crore in so-called "marketing expenses" that Moneycontrol reported were differential payments for higher rates than other customers received, per a Reuters report
- HDFC Bank's board enquiry concluded employees engaged in "business overreach" but were not acting for personal gain
- The rules originated from a draft RBI proposal that invited stakeholder comments, with the final directions postponed to October 1 to give banks additional compliance time
Why it matters: Retail depositors gain a hard uniformity guarantee — same-amount deposits accepted on the same date at any branch must now receive identical rates, closing the door on branch-level favoritism. Corporate and institutional bulk depositors, by contrast, will see banks legally price by liquidity risk under the LCR framework, potentially raising costs for those seeking short-tenure funds. The HDFC-MSRDC ₹45 crore episode is the visible trigger that pushed RBI to formalize what had been a gray area.
