Further, they will have the freedom to offer differential interest rate on bulk deposits. | Photo Credit: Mrinal Pal

Come October 1, 2026, Banks’ will make a daily disclosure of the interest rates payable on bulk deposits on their website and ensure uniformity in the matter of interest paid on deposits. Further, they will have the freedom to offer differential interest rate on bulk deposits.

The aforementioned clauses have been incorporated in RBI’s revised instructions pertaining to interest rate on rupee bulk deposits and disclosure of interest rates on deposits. These instructions come in the wake of banks following differing practices in dealing with bulk deposits.

RBI said interest rates payable on deposits, including bulk deposits, would be strictly as per the schedule of interest rates disclosed in advance on the bank’s website.

However, interest rates payable on bulk deposits have to be disclosed on the bank’s website at 10:00 am with a grace time of 10 minutes, latest by 10:10 am, on each business day.

Regarding the disclosure of interest rate on deposits below ₹3 crore, the Central bank has decided not to stipulate a specific timing as banks are generally disclosing the rates on such deposits in advance of the start of business day.

RBI said the interest rates offered on deposits, including bulk deposits, have to be uniform across all bank branches and for all customers.

Further, there cannot be any discrimination in the matter of interest paid on the deposits, between one deposit and another deposit of similar amount, accepted on the same date, at any of a bank’s offices.

A bank will have the freedom to offer differential interest rate on bulk deposits by considering the differential run-off rate  applicable to deposits or unsecured wholesale funding from retail or non-retail customers, respectively under the Liquidity Coverage Ratio framework.

Run-off rate refers to the percentage of bank deposits expected to be withdrawn in a 30-day period of severe financial stress.

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