Four banks including Karur Vysya Bank and Kotak Mahindra Bank have increased the interest rate on FDs. With this increase, depositing money in these banks will become more beneficial. These banks are giving an opportunity to earn interest up to 6.60 percent. The elderly will be particularly benefited by this increase. They keep money in banks for interest income.
Four banks have increased interest rates on fixed deposits (FDs). With this, getting FD in these banks will be beneficial. These banks include Karur Vysya Bank, Kotak Mahindra Bank, City Union Bank and Karnataka Bank. These banks are giving an opportunity to earn interest up to 6.60 percent. FD interest rates have come down significantly in the last few years. But, now interest rates have started rising again. In August, the Reserve Bank of India (RBI) increased the policy rate. Since then, the interest rates of fixed deposits have also started increasing along with the interest rates of loans. The elderly benefit the most from the increase in fixed deposit interest rates. They depend on interest income for their day-to-day expenses. Let us know about the changes in the interest rates of FDs of these 4 banks here.
Karur Vysya Bank
Karur Vysya Bank will now pay 4% interest on FDs maturing in 7 to 30 days. For 31 to 45 days, this rate is 5.25 percent. 5.25 percent interest will be available on FD of 46 to 90 days. The same interest will be available on FDs maturing in 91 to 120 days. The interest on FDs of 121 days to 180 days will be 5.50 percent. On FDs of 181 days to 270 days, it will be 5.57 percent. Now customers will be able to get 6.10 percent interest on FDs of one to two years. FDs of six years or more will get 6.10 percent interest. The new rates of the bank are applicable from 1st September 2022.
Kotak Mahindra Bank
The new interest rates of Kotak Mahindra Bank are applicable from 6 September 2022. From 390 days to less than 23 months, the bank will now pay 6% interest. Interest on 23 months to less than 2 years will be 6.10 percent. The bank has increased the interest rate on FDs maturing in 2-10 years to 6 percent. The bank is paying 6.10 percent interest on FDs ranging from 23 months to less than two years.
City union bank
City Union Bank has also increased interest rates on deposits of less than Rs 2 crore. Under the new interest rates, the bank will now pay interest in the range of 4 to 6 per cent. Senior citizens will get interest in the range of 4 to 6.25 per cent. The new interest rate of the bank is effective from 1st September 2022.
Like the other three banks, Karnataka Bank has also changed the interest rates for FDs below Rs 2 crore. The bank will now pay 6.20 percent interest on one year FD. For senior citizens, the same rate will be 6.60 per cent. The new rates have become effective from 1 September 2022.