SBI to pay more for deposits: holds base rate

From 1st Oct 2010, bank depositors will earn 15 to 75 basis points more interest on term deposits across various maturities, while borrowers will have to pay more as a host of banks have marked up interest rates.
State Bank of India has hiked interest rates on domestic term deposits by 25 to 75 basis points across various maturity buckets. While SBI has decided to hold its base rate at 7.50% "for the present",Punjab National Bank(PNB),IDBI Bank and Allahabad Bank have increased their base rates from 8% to 8.50%. Axis Bank too upped its base rate by 25 basis points to 7.75%.
With effect from July 1, banks moved to the transparent base rate- linked lending regime. Banks determine their actual lending rates on loans and advances with reference to the base rate (which is the minimum rate below which banks can not lend ) and by including other such customer-specific charges.
PNB and IDBI Bank have upped term deposit rates by 25-50 basis points and 15-50 basis points respectively across various maturities. Over the next few days, other banks are also expected to increase interest rates on term deposits and the base rate.(BL 1.10.2010)