RBI Tells Banks to Keep Deposit Rates Uniform Across Their Own Branches

The Reserve Bank of India has directed banks to maintain uniform deposit interest rates across all branches of the same bank, seeking to prevent customers from being offered different rates for comparable deposits depending on the branch they approach.

The rule does not require every bank in the country to offer identical deposit rates. Each bank will continue to decide its own rates based on its funding needs and internal policies. However, once a bank announces a rate for a particular category of deposit, that rate must be applied consistently across all its branches and eligible customers.

Under the revised directions, a bank cannot offer different interest rates on deposits of similar amounts accepted on the same day merely because they were placed at different branches. The interest paid must also strictly follow the rate schedule disclosed in advance on the bank’s website.

This means, for example, that two comparable deposits made with the same bank on the same date should not receive different rates simply because one was opened in Hyderabad and the other in Delhi. However, another bank may offer a higher or lower rate under its own deposit policy.

Differences may still arise where deposits fall under separate categories, schemes or tenures, or where special rates are offered to eligible groups such as senior citizens. Banks will also retain limited flexibility in pricing bulk deposits under the Liquidity Coverage Ratio framework, depending on the run-off rate applicable to deposits or unsecured wholesale funding.

To strengthen transparency, the RBI has directed banks to publish bulk deposit rates on their websites by 10 am on every business day. A grace period of 10 minutes will be allowed, meaning the rates must be displayed no later than 10.10 am.

The revised norms have been issued through the Reserve Bank of India (Commercial Banks — Interest Rate on Deposits) Second Amendment Directions, 2026, and will take effect from October 1, 2026.

The central bank said the final directions were issued after considering feedback received from stakeholders on draft norms released in June. The move is expected to reduce branch-level discretion, improve transparency and ensure equal treatment of customers placing comparable deposits with the same bank.