HDFC FD rates slashed: HDFC Ltd slashes fixed deposit rates by 20 basis points

HDFC Limited is reducing fixed deposit rates once again from October 22. This is the fourth time since June when the housing finance giant has reduced its deposit rates, as it looks to slash rates further by 10-20 basis points now.

Financial planners point out that corporate deposit rates are on a downward trend in line with the general fall in rates in the system and easy liquidity.

After the cut in interest rate, investors can now earn 5.7% for a 15 month deposit, 5.8% for 22 months, 5.75% for 30 months, 6.1% for a 44 month deposit and 6.25% for a 66 month deposit. Investors have a option to take interest monthly, quarterly, half yearly, annually or cumulative basis.

For those looking for a 1-3 year tenure deposit, HDFC Limit scores marginally over the post office time deposit which pays 5.5% per annum. However for a 5 year deposit, the post office pays 6.7% which is significantly higher than HDFCs highest rate of 6.25%.

The post office did not cut rates for the October – December quarter and it pays the same rates, making longer tenure deposits more attractive there.

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