Government hikes interest rates
New Delhi: The Indian government has increased savings interest rates by up to 0.3%. This decision was taken on Friday, in which the interest rates on select small savings schemes were increased by up to 0.3% for the July-September quarter. In this, the maximum benefit has been for a five-year recurring deposit (RD). In this, you will get increased interest up to 0.3%. Like earlier you used to get 6.2 percent interest, now you will get increased from 0.3% to 6.5 percent interest.
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As per the Finance Ministry’s notification, during the second quarter of the current financial year, RD holders will get 6.5 percent as against the existing 6.2 percent. With the revision, one-year fixed deposits in post offices will now fetch 0.1 percentage points higher at 6.9 percent, and for two-year tenure – 7 percent (over 6.9 percent). But interest rates have been retained at 7 percent and 7.5 percent.