Central Bank of India is a public sector
commercial bank. Headquartered in Mumbai, it has a large branch network of
about 4,600 branches in about 27 states. It is among the oldest/largest
commercial banks in India.
The Central Bank of India offers short and long
term fixed deposits. Short- term fixed deposits are those term deposits where
the term-to-maturity and interest rate are fixed for a short period of time
i.e. less than one year. Long-term fixed deposits are those term deposits where
the term-to-maturity and interest rate are fixed for a long period of time i.e.
one year or more. The interest rates on fixed deposits are revised over time in
accordance to market changes and bank requirements.
Fixed deposits are gaining ground as an
investment avenue in 2014 given the government's positive outlook on
controlling inflation. Lower inflation makes fixed return products like fixed
deposits more attractive as the returns are guaranteed and not diminished by
inflation.
The Central Bank of India's fixed deposit rates
for 2014 are given below. It indicates both short-term and long-term fixed
deposit rates in Central Bank of India.
Table 1 shows the rates that were existing and
also the revised rates for fixed deposits that are less than Rs. 1 crore in
value and those that range from Rs. 1 crore to Rs. 10 crore. Table 2 shows the
existing and revised rates for aggregate bulk deposits for Rs.10 crore and
above. (Footnotes appended for additional information).
Table 1
Domestic Term
Deposits
Maturity Period
|
Rates for
Deposits less than Rs.1 Crore
|
Rates For
Deposits 1 Cr to Rs.10 Cr (Single Deposit)
|
Existing rates
|
Revised rates
|
Existing rates
|
Revised rates
|
02.04.14
|
17.06.14
|
03.02.14
|
17.06.14
|
7 -14 days
|
6.50
|
6.50
|
6.00
|
6.25
|
15 – 30 days
|
6.50
|
7.00
|
7.00
|
7.00
|
31 -45 days
|
6.50
|
7.00
|
7.00
|
7.00
|
46 – 59 days
|
7.50
|
7.50
|
7.25
|
7.25
|
60 – 90 days
|
7.50
|
7.50
|
7.75
|
7.75
|
91 – 179 days
|
8.20
|
8.20
|
8.00
|
8.00
|
180 – 270 days
|
8.75
|
8.75
|
8.50
|
8.50
|
271 – 364 days
|
8.75
|
8.75
|
8.50
|
8.50
|
1 yr to less than 2 yrs
|
9.00
|
9.00
|
9.00
|
9.00
|
2 yr to less than 3 years
|
9.05
|
9.05
|
8.75
|
8.75
|
3 yr to less than 5 years
|
9.05
|
9.05
|
8.75
|
8.75
|
5 years & above
|
8.75
|
8.75
|
8.75
|
8.75
|
555 days
|
9.05
|
9.05
|
NA
|
NA
|
777 days
|
9.15
|
9.15
|
NA
|
NA
|
Cent Double
|
8.75
|
8.75
|
NA
|
NA
|
Table 2
Aggregate bulk
deposit above Rs.10 crore with effect from 07.07.2014:-
Period
|
Existing Rates
(%)
|
Revised Rate
(%)
|
7-14 days
|
6.00
|
6.00
|
15-30 days
|
7.00
|
7.00
|
31-45 days
|
8.25
|
8.25
|
46-59 days
|
8.50
|
8.25
|
60-90 days
|
8.60
|
8.25
|
91-179 days
|
8.60
|
8.50
|
180-270 days
|
8.85
|
8.85
|
271-364 days
|
8.85
|
8.85
|
12 months to 13
months
|
9.10
|
9.10
|
Prior approval of Treasury Central Office must be taken before accepting
deposit of Rs.25 crore and above.
These interest rates are not applicable for Inter-Bank Deposits.
Senior citizen rates:
Senior citizens are given an additional 0.50% p.a. on the rates shown
above. Senior citizen rates are considered for depositors above 60 yrs.
Penalty on premature withdrawals:
(As of 27.04.2013)
·
upto Rs. 5 lakhs - no penalty
·
above Rs.5 lakhs - 1%
·
renewal of the deposit for a longer term than
the original period left after premature withdrawal - no penalty
Revised rates:
Deposit renewal and all new deposits will be as
per the revised rates of interest on the term deposits as mentioned in the
tables above.
Fixed Deposit Schemes at Central
Bank of India
1. Cent Benefit Deposit: 8.25% (No additional rate for seniors/staff)
2. Cent Millionaire: 8.75%
3. Cent Lakhpati:
8.75% - 9.05% (Additional rate for seniors/staff as per standards)
4. CENT
Swa-ShaktiI Flexi RDS: As per prevailing
term deposit rates (+ 0.5% for seniors/staff)
5. Cent
Double Deposit Scheme: 8.75%
6. Cent
Super Plus term deposit: 9.30% (+.5% for
seniors/+1% for staff)
7. CENT Uttam Scheme: As per prevailing term deposit rates
8. Monthly Interest Deposit Receipt (MIDR): As per prevailing term deposit rates (Monthly
interest)
9. CENT Tax Saving Deposit: As per prevailing term deposit rates for 5
yrs (upto Rs.15 lakhs)
10. Senior Citizen Deposit Scheme: As per prevailing term deposit rates + 0.50%
for seniors
11. Money Multiplier Deposit Certificate
(MMDC): As per prevailing term deposit
rates (interest is added onto the principal for a higher effective interest
rate)
12. Quarterly Interest Deposit Receipt (QIDR): As per prevailing term deposit rates
(Quarterly interest)
13. Central‘s Flexi Yield Deposit Scheme: As per prevailing term deposit rates (Can
avail a higher floating rate of interest)
Apart from the visiting banks or its website,
Central Bank of India Fixed Deposit rates for 2014 can also be found online on
financial sites.
BankBazaar.com is one such site that provides information not only on the fixed deposit rates
in Central Bank of India but also lets you calculate the maturity values of the
deposits by using a deposit rate calculator. Using this, the maturity value of
the fixed deposit is returned on inputting the deposit amount for a particular
tenure at a particular rate. You can also then apply for the product that suits
you the best.
Fixed deposit rates are different across banks
because there are many factors that affect the rates set by each bank. Some key
factors are: liquidity requirements, change in RBI's policy, profitability and
also to build customer base and compete. These are some of the reasons why
other banks may offer fixed deposits at more attractive rates but the features
of the products have to be compared to best suit one's investing requirements.
The information provided above is as per
information released by the bank and is subject to change. All information must
be read in conjunction with the additional features, terms and conditions
relating to the said products as outlined by the bank.
