NEW DELHI: Shriram City Union Finance, part of Shriram Group, has hiked its fixed deposit rates by 15-25 basis points (bps).
The increased Shriram City FD rates are applicable for tenures between 36 months to 60 months. FD rates remain unchanged for the 12-24-month tenor, and have been increased by 25bps for the 36-month tenor. The 48-month duration is 20bps and the 60-month duration is 15bps. Also, an additional interest of 0.50% per annum will be paid to senior citizen depositors as against 0.30% earlier. The new rates have come into effect from May 20.
The revised interest rates are 6.5% for 12 months, 6.75% for 24 months, 7.75% for 36 months, 7.8% for 48 months and 7.9% for 60 months.
According to the press release, the company’s long-term credit rating is at AA with a positive outlook from India Ratings, and AA on Rating Watch with a positive impact by CRISIL, ICRA and CARE.
Shriram City Union Finance is a non-banking finance company, whose business is focused on rural and semi-urban areas and assets under management (AUM). 385.4 billion according to the company. It finances small business enterprises and is the largest two wheeler financier. The company also provides gold loans and has a housing finance subsidiary, Shriram Housing Finance Limited, whose AUM is 53.5 billion.