Home › Circulars › RBI/2026-27/218

LAB Deposit Rate Disclosure & Uniformity Rules Tightened

Not yet independently checked — please confirm with the official RBI source below
Source: Reserve Bank of India · RBI/2026-27/218 · issued FY 2026-27 · ~1 min read
Quick answerRBI updates Local Area Bank deposit rules: rates must be disclosed on website by 10:10 am daily, and rates must be uniform across branches and customers for similar deposits. Effective October 1, 2026.
The rule, in the simplest words
How it plays out — a real example

Ravi, the head of deposits at a LAB, sets a daily reminder to update the website by 10:00 am. He also sends a circular to all branches that any deposit of ₹1 lakh for 1 year must get exactly the published rate, no exceptions. This prevents any customer from getting a better deal than another.

What changed

The RBI has revised the Local Area Banks (LABs) deposit interest rate framework. Banks must now disclose all deposit rates, including bulk deposits, on their website by 10:10 am each business day (10:00 am with a 10-minute grace). Also, rates must be uniform across all branches and customers for similar deposits accepted on the same date.

What it means for you

LABs must ensure their published rates are always current and strictly followed. No more branch-level or customer-specific variations for similar deposits. This increases transparency and reduces discrimination, but requires operational discipline in updating websites and training staff.

What you must do

Who it affects

Local Area Banks (LABs), Deposit operations teams, Treasury and asset-liability management, Branch managers and customer-facing staff

❓ Common questions

Does the 10:10 am deadline apply to all deposits?

Yes, the disclosure requirement applies to all deposits, including bulk deposits, and must be done by 10:10 am on each business day.

Can we offer different rates to different customers for the same deposit amount?

No. Rates must be uniform for similar deposits accepted on the same date, across all branches and customers.

When does this take effect?

The directions come into effect from October 1, 2026.

📜 Read the original circular — full text as issued by RBI
Notifications - Reserve Bank of India Skip to main content Selected Selected Change Language हिंदी Search the Website Search Home About Us ▼ About Us Organisation & Functions ▶ Organisation Structure Departments Offices Training Establishment ▶ College of Agricultural Banking Reserve Bank Staff College College of Supervisors RBI's Functions and Working Governors Deputy Governors Executive Directors Communication Policy of RBI Sources of Information ▶ Annual Publications Half-yearly Publications Quarterly Publications Monthly Publications Weekly Publications Occasional Publications SDDS NSDP Data Releases Publications available on Subscription General Information RBI History Museum ▶ The RBI Museum RBI Monetary Museum Notification ▼ Notifications Master Directions Master Circulars Amendment Directions Draft Notifications/Guidelines ▶ Draft Notifications/Guidelines Draft Directions (RE-wise) Index To RBI Circulars Standalone Circulars Circulars Withdrawn Press Releases Speeches & Media Interactions ▼ Speeches Media Interactions Memorial Lectures Podcasts Publications ▼ Biennial Annual Half-Yearly Quarterly Bi-monthly Monthly Weekly Occasional Reports Working Papers Legal Framework ▼ Act Rules Regulations Schemes Research ▼ External Research Schemes RBI Occasional Papers Working Papers RBI Bulletin History DRG Studies KLEMS State Statistics and Finances Statistics ▼ Data Releases Database on Indian Economy Public Debt Statistics Regulatory Reporting ▼ List of Returns Data Definition Validation rules/ Taxonomy List of RBI Reporting Portals FAQs of RBI Reporting Portals Home Notifications Notifications ( 227 kb ) Reserve Bank of India (Local Area Banks – Interest Rate on Deposits) Second Amendment Directions, 2026 RBI/2026-27/218 DOR.SOG(SPE).REC.177/13.03.00/2026-27 July 30, 2026 Reserve Bank of India (Local Area Banks – Interest Rate on Deposits) Second Amendment Directions, 2026 Please refer to the Reserve Bank of India (Local Area Banks – Interest Rate on Deposits) Directions, 2025 (hereinafter referred to as 'Directions'), dated November 28, 2025. On a review, it has been decided to issue revised instructions pertaining to disclosure of interest rates on deposits. 2. Accordingly, in exercise of the powers conferred by Section 35A of the Banking Regulation Act,1949 and all other laws enabling the Reserve Bank India (RBI) in this regard, the RBI, being satisfied that it is necessary and expedient in public interest so to do, hereby issues the Amendment Directions hereinafter specified. 3. These Amendment Directions shall be called the Reserve Bank of India (Local Area Banks – Interest Rate on Deposits) Second Amendment Directions, 2026. 4. These Amendment Directions shall come into effect from October 01, 2026. 5. These Amendment Directions shall modify the Directions as under: (1) In Chapter II on ' General Guidelines (Interest Rate Framework) ', the paragraph 6(3) shall be substituted by the following, namely: Interest rates payable on deposits, including bulk deposits, shall be strictly as per the schedule of interest rates disclosed in advance on the bank's website. However, interest rates payable on bulk deposits shall be disclosed on the bank's website at 10:00 am with a grace time of 10 minutes, latest by 10:10 am, on each business day. (1)(a) In Chapter II on ' General Guidelines (Interest Rate Framework) ', the paragraph 6(2) shall be substituted by the following, namely: The interest rates offered on deposits, including bulk deposits, shall be uniform across all branches and for all customers and there shall be no discrimination in the matter of interest paid on the deposits, between one deposit and another deposit of similar amount, accepted on the same date, at any of its offices. (Dr. Sudarsana Sahoo) Chief General Manager 2026 All Months January February March April May June July August September October November December 2025 All Months January February March April May June July August September October November December 2024 All Months January February March April May June July August September October November December 2023 All Months January February March April May June July August September October November December 2022 All Months January February March April May June July August September October November December 2021 All Months January February March April May June July August September October November December 2020 All Months January February March April May June July August September October November December 2019 All Months January February March April May June July August September October November December 2018 All Months January February March April May June July August September October November December 2017 All Months January February March April May June July August September October November December Archives 2016 All Months January February March April May June July August September October November December 2015 All Months January February March April May June July August September October November December 2014 All Months January February March April May June July August September October November December 2013 All Months January February March April May June July August September October November December 2012 All Months January February March April May June July August September October November December 2011 All Months January February March April May June July August September October November December 2010 All Months January February March April May June July August September October November December 2009 All Months January February March April May June July August September October November December 2008 All Months January February March April May June July August September October November December 2007 All Months January February March April May June July August September October November December 2006 All Months January February March April May June July August September October November December 2005 All Months January February March April May June July August September October November December 2004 All Months January February March April May June July August September October November December 2003 All Months January February March April May June July August September October November December 2002 All Months January February March April May June July August September October November December 2001 All Months January February March April May June July August September October November December 2000 All Months January February March April May June July August September October November December 1999 All Months January February March April May June July August September October November December 1998 All Months January February March April May June July August September October November December 1997 All Months January February March April May June July August September October November December 1996 All Months January February March April May June July August September October November December 1995 All Months January February March April May June July August September October November December 1994 All Months January February March April May June July August September October November December 1993 All Months January February March April May June July August September October November December 1992 All Months January February March April May June July August September October November December 1991 All Months January February March April May June July August September October November December Top Back to previous page More Links Bank Holidays Banking Glossary Citizen's Charter Complaints Contact Us COVID-19 Measures E-LMS Events FAQs Financial Education Forms IFSC/MICR Codes Important Websites Opportunities @ RBI RBI Clarifications RBI Kehta Hai RBI’s Vision and Values (1257 kb)--> Right to Information Act Tenders Follow RBI RSS Twitter YouTube Instagram Facebook LinkedIn © Reserve Bank of India. 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Reproduced for reference with acknowledgment — Source: Reserve Bank of India · RBI/2026-27/218 · issued FY 2026-27. The plain-English explanation above is BankPulse’s own independent summary.
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Who does what — compliance checklist
🏦 Branch Manager
  • Ensure branch staff offer only the published rates for similar deposits.
💻 IT / Systems
  • Review internal systems to prevent any deviation from uniform rates.
📜 Compliance
  • Update your website with all deposit rates (including bulk) by 10:10 am every business day.
  • Train staff on the new disclosure and uniformity requirements before October 1, 2026.
Grouped from the action items above — a single circular may involve more than one team.
Worked example & action-note template

Example: if you are a Compliance officer at a bank this circular applies to (Local Area Banks (LABs), Deposit operations teams, Treasury and asset-liability management, Branch managers and customer-facing staff), your first concrete step on “LAB Deposit Rate Disclosure & Uniformity Rules Tightened” is: “Update your website with all deposit rates (including bulk) by 10:10 am every business day.” (RBI issued this FY 2026-27).

  1. Circular: RBI/2026-27/218 -- LAB Deposit Rate Disclosure & Uniformity Rules Tightened
  2. Issued: FY 2026-27
  3. Action required: Update your website with all deposit rates (including bulk) by 10:10 am every business day.
  4. Action required: Ensure branch staff offer only the published rates for similar deposits.
  5. Action required: Review internal systems to prevent any deviation from uniform rates.
  6. Action required: Train staff on the new disclosure and uniformity requirements before October 1, 2026.
  7. Owner: ____________ Target date: ____________
  8. Board/committee approval needed? Y / N
  9. Evidence filed in compliance register on: ____________
Built only from this circular’s own published fields — not legal advice; always confirm against the official RBI source.

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BankPulse Compliance Evidence Pack — generated 31 Jul 2026 · status cross-checked against RBI’s official withdrawal register (refreshed weekly).
Official RBI source: https://www.rbi.org.in/scripts/NotificationUser.aspx?Id=13660&Mode=0 — Plain-English summary by BankPulse (bankpulse.ai), reviewed by our expert reviewer, CA Amit Jain. Independent platform, not affiliated with the Reserve Bank of India; is our own plain-English paraphrase, not RBI’s original wording.
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