RBI Issues Revised Rules for Bulk Deposit Interest Rates

The Reserve Bank of India announced revised instructions on interest rates for Rupee bulk deposits and deposit rate disclosures on July 30, 2026. These new rules apply to commercial banks and came into effect on October 01, 2026. Banks must now publish their bulk deposit interest rates on their official websites by 10:00 am each business day.

Daily Disclosure Mandate for Commercial Banks

Commercial banks must publish their schedule of interest rates in advance on their official websites. Rates paid on deposits, including bulk deposits, must strictly follow this published schedule. Under the revised guidelines, banks must update their bulk deposit rates every business day by 10:00 am. A grace window of 10 minutes allows publishing up to 10:10 am at the latest.

Banks must offer uniform interest rates across all branches and customers. The regulator prohibits discrimination in interest rates between deposits of similar amounts accepted on the same date at any office. Customers comparing deposit options can view Interest Rates in India Today — October 2026 to check current market trends.

Differential Rates Under Liquidity Coverage Ratio Framework

The amendment gives commercial banks specific flexibility regarding bulk deposit interest rates based on liquidity criteria. Under Chapter III for Domestic Rupee Deposits and Chapter IV for Rupee Deposits of Non-Residents, banks gain the freedom to offer differential interest rates on bulk deposits.

Banks determine these differential rates by evaluating applicable run-off rates under the Liquidity Coverage Ratio framework. The framework is specified in the Reserve Bank of India (Commercial Banks – Asset Liability Management) Directions, 2025. This provision applies to both domestic Rupee bulk deposits and unsecured wholesale funding for non-resident Rupee deposits. Depositors seeking non-bank alternatives can explore Corporate NBFC Fixed Deposits or review borrowing terms like a Loan Against Fixed Deposit.

Legal Framework and Effective Date

Chief General Manager Dr. Sudarsana Sahoo issued the Reserve Bank of India (Commercial Banks – Interest Rate on Deposits) Second Amendment Directions, 2026 under circular reference DOR.SOG(SPE).REC.176/13.03.00/2026-27. The RBI exercised powers under Section 35A of the Banking Regulation Act, 1949.

These rules modify paragraph 7(2) and paragraph 7(3) of Chapter II in the principal Reserve Bank of India (Commercial Banks – Interest Rate on Deposits) Directions, 2025, dated November 28, 2025. New sub-paragraphs 10(4) and 27(3)(iv) are added to govern domestic and non-resident deposits respectively. All commercial banks must strictly comply with these modified provisions starting October 01, 2026.

Sources

• Reserve Bank of India (Commercial Banks – Interest Rate on Deposits) Second Amendment Directions, 2026 — Reserve Bank of India (checked 2 Oct 2026)