Oriental Bank cuts fixed deposit interest rates

Oriental Bank cuts fixed deposit interest ratesFollowing footsteps of India's biggest state-owned lender SBI, Oriental Bank of Commerce (OBC) also slashed fixed deposit interest rates on select maturities by up to 0.5 per cent.

Fixed deposit for a period of 91 days to 79 days will now fetch 7.50 per cent interest for OBC customers, down from 8 per cent. Interest on term deposit of 180 days to 269 days has also been slashed by 0.5 per cent, at 8 per cent.

Fixed deposit for a term of between 270 days to one year will now fetch 8 per cent interest rate, while term deposit of 1year to 2 years would now offer interest rate of 9.10 per cent, as compared with 9.25 per cent the bank offered previously.

Interest rate on fixed deposits with maturity periods of between 2 years and 3 years and 3 years and 5 years has been brought down by 0.15 per cent to 9.10 per cent.

However, OBC has also hike interest rate by a marginal 0.1 per cent on fixed deposit with a maturity period of between 5 years and 10 years from 9 per cent to 9.10 per cent.

OBC has slashed interest rate after a similar move by SBI. But OBC said its move was not inspired by that SBI. SL Bansal, Chairman & Managing Director of OBC, said, "We are not guided by SBI." Mr. Bansal added that OBC's cost structures were different from other banks.

OBC also slashed interest rate on home loans and car loans by 0.25 per cent and 0.4 per cent respectively.