The State Bank of India is doing its best for retaining its customers as there has been a tough competition from private sector banks. As a part of the same, the bank has been implementing several new plans and schemes, which are being hailed by the customers. Recently, SBI declared that all the savings account would be zero balance accounts hereafter. And in another move, which would woo NRI customers, SBI increased the interest rates on fixed deposits.
The State Bank of India has increased the interest rates on NRI fixed deposits by 25 per cent. The new interest rates came into effect on Tuesday. The bank said the interest rates on three to five years' fixed deposits would touch nine per cent from earlier 8.75 per cent. The bank has clarified that the interest rates on other deposits would, however, remain the same.
The financial experts are of the opinion that many NRI customers will welcome this move and also felt that this decision would attract the general customers to open fixed deposits.