India's overnight indexed swap (OIS) rates have fallen in the last three sessions, signaling that besides just a quarter-point rate cut this week, the central bank could also change its stance or opt for a bigger reduction.

This reduction in FD rates will impact depositors, especially senior citizens, who are dependent on interest earned from fixed deposits parked with banks.

The Reserve Bank of India on Wednesday reduced the repo rate by 25 basis points, bringing it down to 6% from 6.25% The impact of the reduction of RLLR will vary between old and new home loan borrowers.