Report Wire - Kotak Bank joins bandwagon of revising FD charges; now, senior residents get 7%

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Kotak Bank joins bandwagon of revising FD charges; now, senior residents get 7%

3 min read
Bank fixed deposits are popular investment instruments. (Photo: iStock)

Kotak Mahindra Bank is among the many newest to affix the bandwagon of revising mounted deposit rates of interest after RBI’s 35 foundation factors hike in coverage repo price to six.25%. The main personal banker now provides a most 6.50% price to the final class, whereas senior residents are in for a deal with as they’ll get to earn rates of interest on their FD accounts to as excessive as 7%. The rates of interest for elderlies are inflation-beating at the moment. Notably, the charges are revised on each FDs beneath ₹2 crore and bulk deposits with impact from December 9.

FDs beneath ₹2 crore:

General Category:

The maturity interval from 390 days to lower than 2 years has an rate of interest of a most of 6.50%. While the financial institution is providing 6.40% on 2 years to lower than 3 years tenures; 6.30% on 3 years and above however lower than 4 years tenures; 6.25% on 4 years and above however lower than 5 years tenures; and 6.20% on 5 years and above and inclusive of 10 years.

The rate of interest of 6.25% can also be relevant for three hundred and sixty five days to 389 days of tenure. While the speed is at 6% on 364 days tenure; 5.75% on 271 days to 363 days tenure; 4.25% on 121-179 days; and 4% on 91-120 days. The financial institution provides an rate of interest of 5.50% on FDs maturing from 180 days to 270 days tenure.

On shorter tenures, equivalent to 46 – 90 days, the speed is 3.50%, whereas the speed is 3.25% on 31 – 45 days; 3% on 15 – 30 days; and a pair of.75% on 7 – 14 days.

Senior Citizens:

The highest price provided to Senior Citizens by Kotak Bank could be 7% on tenures from 390 days to lower than 2 years. While the rate of interest is 6.90% on 2 years however lower than 3 years tenure; 6.80% on 3 years and above however lower than 4 years tenure; 6.75% on 4 years and above however lower than 5 years; and 6.70% on 5 years and above as much as and inclusive of 10 years. An rate of interest of 6.75% can also be relevant for three hundred and sixty five days to 389 days of tenure.

The financial institution is providing a 6% price on tenures from 180 days to 270 days. The price is increased at 6.25% on 271 days to 363 days tenure and at 6.50% on 364 days tenure. On shorter tenures, the speed is 4.75% on 121 – 179 days; 4.50% on 91 – 120 days; 4% on 46 – 90 days; 3.75% on 31 – 45 days; 3.50% on 15 – 30 days; and three.25% on 7 – 14 days.

Bulk FDs:

The bulk FDs vary from ₹2 crore to ₹25 crore and above. While the tenures begin from 7 days to inclusive of seven years.

Kotak Bank is providing 3.75% to six.80% on FDs from ₹2 crore to beneath ₹5 crore, whereas the rate of interest from 4.25% to 7% on FDs from ₹5 crore however beneath ₹25 crore.

On FDs from ₹25 crore and above, the rates of interest fluctuate from 4.25% to 7.20%.

Under the majority deposits, Kotak Bank stated, the senior residents’ price is just not relevant on NRO/NRE deposits, whereas no curiosity shall be payable for NRE TDs staying lower than 1 yr.

For FDs with tenure beneath 181 days, the curiosity shall be calculated at maturity as easy curiosity. The calculation of curiosity is foundation three hundred and sixty five days in a non-leap yr and three hundred and sixty six days in a leap (calendar) yr.

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