Bank of India (BOI), one of India’s prominent public sector lenders, has announced a series of revisions to its Fixed Deposit (FD) interest rates. The bank has withdrawn its special 400-day FD scheme. The revised rates are to be made effective from 15th April, 2025, according to the bank’s press release.
Withdrawal of 400-day Special FD scheme
The bank has discontinued the 400-day special FD scheme offering competitive interest rate of 7.30%.
Bank of India cuts interest rates on these deposits
In addition to withdrawing its special 400-day deposit scheme, Bank of India has revised interest rates downward across various short- and medium-term fixed deposit (FD) tenures for amounts less than Rs 3 crore.Also read: SBI cuts FD interest rates on select tenures; introduces revised ‘Amrit Vrishti’ scheme with lower interest rates
For deposits maturing between 91 days and 179 days, the interest rate has been reduced from 4.50% to 4.25%, down by 25 basis points (bps). For tenures ranging from 180 days to less than 1 year, the rate has been cut from 6.00% to 5.75% (25 bps rate cut). The bank has cut interest rates on one-year fixed deposits by 20 bps from 7% to 6.80%.
However, for FDs above 1 year and up to less than 2 years (excluding the withdrawn 400-day scheme), the interest rate has been lowered by 5 bps from 6.80% to 6.75%.
Senior citizens and super senior citizens FD rates
An additional rate of interest of 0.65% on deposits of Super Senior Citizens and 0.50% on deposits of Senior Citizens below Rs. 3 crore is offered on Fixed Deposits with a maturity period of 6 months & above.
Also read: Punjab National Bank (PNB) cuts FD interest rates on these tenures: Check details
Penalty of premature withdrawal of fixed deposits
No penalty is charged on deposits of less than Rs. 5 lakhs if withdrawn on or after the completion of 12 months. A penalty of 0.50% is applicable on deposits of less than Rs. 5 lakhs if withdrawn prematurely before 12 months. A penalty of 1.00% is applicable on premature withdrawal of deposits of Rs. 5 lakhs and above.
Note that if the deposits which have been prematurely closed for renewal for a longer period than the remaining period of the original contract tenure, there shall be “No penalty” for the premature withdrawal irrespective of the amount of the deposit. No Penalty for the premature withdrawal of Term deposits due to death of depositor/s
