According to the official website of Canara Bank, the higher interest rates on fixed deposits are effective from August 8, 2022.
FDs come in tenors ranging from 7 days to 10 years, which will now earn interest rates ranging from 2.90% to 5.75% for general public and 2.90% to 6.25% for senior citizens.
The bank has increased the 180-day fixed interest rate by 15 basis points to 4.65 per cent. Canara Bank has increased the interest rate on fixed rate deposits from 4.55 per cent to 4.65 per cent for tenures ranging from 270 days to less than one year. The bank increased the one-year interest rate by 20 basis points to 5.50 per cent. For periods from more than one year to less than two years, it is 5.55 per cent with an increase of 15 basis points.
a punishment
Domestic deposits of less than Rs. 2 crores that have been prematurely closed, partially withdrawn, or extended, will attract a 1% penalty. However, no interest shall be payable on premature closure or on prematurely extended fixed deposits before the completion of 7th day.
As per the Canara Bank website, “For premature closure/partial withdrawal/premature extension of domestic/NRO fixed deposits, the bank levies a penalty of 1.00%. Such premature closure/partial withdrawal / Prematurely extended deposits will attract interest below 1.00% at the rate applicable for the relevant amount slab as on the date of deposit and 1.00% less than the rate applicable for the period and period at which the deposit is accepted, whichever be less.