Kotak Mahindra Bank has increased the rates on term deposits maturing in three to five years by five basis points (bps). These deposits will earn 5.45 percent interest from 5.40 percent. The interest rates on the other FD tenors have been kept unchanged.
Kotak Mahindra Bank offers interest rates of 2.5 percent, 2.75 percent, and 3 percent for FDs maturing in 7 to 30 days, 31 to 90 days, and 91 to 120 days, respectively.
FDs with maturities of 181 to 363 days yield 4.40 percent, while term deposits with a maturity of 364 days yield 4.50 percent. Deposits with maturities ranging from 365 to 389 days will now yield 4.90 percent. 5.10 percent will be paid on FDs maturing in 390 days to less than 23 months.
FDs with tenure of 5 years and above, up to and including 10 years come with an interest rate of 5.50 percent.
Other banks’ FD rates
Various banks, including HDFC Bank, State Bank of India (SBI), IndusInd Bank, IDBI Bank, and others, have raised interest rates on various FD tenures in the last two weeks. Others may follow suit in the near future.
According to the HDFC bank’s website, interest rates on FDs worth less than Rs 2 crore have been raised by 5-10 basis points. The new rates will go into effect on February 14, 2022.
The State Bank of India (SBI) has increased interest rates on fixed deposits (FDs) for tenures above 2 years by 10-15 basis points with effect from February 15, 2022.
IDBI Bank, a private sector lender, has raised its long-term deposit interest rates by 25 basis points and has kept interest rates on the rest of the tenors unchanged.