Core Viewpoint - The large-denomination certificate of deposit (CD) rates are rapidly approaching the "0% era," with many banks offering rates below 1% for products with a maturity of one year or less, and three-year rates generally below 2% [1][3][6] Group 1: Interest Rate Trends - The majority of banks have seen one-year and shorter-term CD rates drop below 1%, with some even lower than the yields of money market funds [1][3] - The average interest rates for various terms have significantly decreased, with one-year rates mostly below 1.5% and three-year rates not exceeding 2% [3][6] - The average interest rate for bank deposits across all terms fell below 2% as of September 2025, with three-month rates at 0.944% and one-year rates at 1.277% [6][8] Group 2: Deposit Maturity and Customer Behavior - Approximately 75 trillion yuan of deposits are set to mature in 2026, with a notable increase in the volume of one-year and longer-term deposits maturing [9][10] - Many depositors are opting to transfer their funds between banks rather than moving to equity markets, seeking slightly higher yields from smaller banks [10][11] - Younger depositors are creatively diversifying their funds across multiple banks to take advantage of promotional offers [11] Group 3: Bank Strategies to Retain Deposits - In response to the pressure of deposit outflows, banks are implementing various strategies, including temporarily raising interest rates to around 2% to attract and retain funds [1][15] - Some banks are enhancing customer service and offering tailored solutions to improve customer retention, such as pre-reminder mechanisms and personalized renewal plans [16] - Marketing campaigns and customer engagement activities are being intensified to maintain deposit levels, with some banks offering rewards based on asset growth [15][16]