HDFC Bank Adjusts Non-Withdrawable Fixed Deposit Rates: Detailed Information Inside

HDFC Bank, India’s largest private sector lender, has recently introduced revisions to its non-withdrawable fixed deposit (FD) rates. The updated rates, which apply to deposits of Rs 2 Crore and above, became effective as of September 4th, 2023. These rate adjustments impact various tenures and types of deposits, as detailed below.

Revised HDFC Bank Non-Withdrawable FD Rates:

1. For FD Amounts of Rs 2 Crore to Rs 5 Crore:

• Tenure: 1 Year to 15 Months
• Interest Rate: 7.35%

2. For FD Amounts of Rs 2 Crore and Above:

• Tenure: 15 Months to 10 Years
• Interest Rate: 7.20%

These revised rates are applicable to both Domestic and Non-Resident (NRO and NRE) term deposits. Notably, the bank offers an attractive interest rate of up to 7.40% for non-withdrawable deposits ranging from Rs 25 Crore to Rs 300 Crore, maturing in the duration of 9 months 1 day to 15 months. It’s essential to note that these rates will be calculated on a quarterly basis for deposits with a tenor exceeding 6 months.

The above rates are specifically designed for fresh fixed deposits, according to the bank’s guidelines. Additionally, it’s important to mention that non-withdrawable fixed deposits do not permit sweep-in facility or partial withdrawals. These deposits are exclusively available for sums of Rs 2 Crore and above.

For Non-Resident (NRO and NRE) category deposits, the minimum tenure requirement for NRE deposits is one year. Furthermore, for resident and NRO deposits exceeding Rs 2 Crore, the minimum tenor is one year, and for deposits surpassing Rs 5 Crore, it’s 90 days.

HDFC Bank emphasized that non-withdrawable deposits will be booked only when clear funds are available with the bank. The applicable interest rate will be determined based on the date the funds are received by the bank.

One distinctive feature of these fixed deposits is the absence of a premature withdrawal option. Depositors are unable to close their accounts before the maturity period. However, exceptions may arise in unusual circumstances, such as instances involving directions from judicial, legislative, or regulatory authorities, or in the unfortunate event of death claim settlements. In such cases, the bank may consider permitting the premature withdrawal of these deposits.

It’s important to note that in the event of premature withdrawal due to unusual circumstances, the interest rates will not accrue on the deposit’s principal amount. Any interest that has been credited or paid as of the premature closure date will be deducted from the deposit by the bank. In cases of premature withdrawal, especially for death claim settlements, the applicable interest rates will be communicated to the claimant.

Furthermore, starting from July 22nd, 2023, the interest rate that will be applied for premature withdrawals will be the rate that was in effect from the date the deposit was initially booked until the time the deposit was held by the bank.

In summary, HDFC Bank’s recent adjustments to its non-withdrawable fixed deposit rates have been designed to cater to a wide range of deposit amounts and tenures. These revisions aim to provide competitive interest rates for customers seeking to invest substantial sums in fixed deposits. While these deposits do not offer premature withdrawal options for ordinary circumstances, exceptions exist for unique situations, ensuring flexibility for account holders when necessary.

For more details and specific information about these revised rates, customers are encouraged to visit HDFC Bank’s official website or consult with the bank’s customer service representatives.

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