The interest rate for FDs with tenor from 365 days to 389 days has been increased by 10 basis points to 5.60 per cent from the earlier 5.50 per cent. The interest rates for other FD tenors have been kept unchanged.
Kotak Mahindra Bank FD Interest Rates
How FD interest rate calculated
With term deposits of less than 181 days, the interest will be calculated as simple interest on maturity. Standalone fixed deposits with a tenor of 181 days or more that are linked to savings or current accounts will be treated as regular sweep deposits and will be subject to early withdrawal penalties.
According to the website, “Interest on fixed deposits can be paid for a period of not less than one quarter (monthly interest payment) at concessional interest rates as per RBI instructions.”
recurring deposit
Kotak Mahindra Bank has increased the interest rate on recurring deposits by 10 basis points for a tenor of 12 months. The interest rate for RDs with a tenure of 12 months has been increased to 5.60 per cent from the earlier 5.50 per cent.
Kotak Mahindra Bank RD interest rates
Penalty for delay in payment of RD installment
According to the bank, “In case of delay in payment of any installment after the grace period of 5 days, penal interest at RD rate of interest (contracted rate of interest at the time of booking of RD) + 2% p.a. or such other rate as may be applicable as may be specified by the Bank from time to time, shall be charged for the month of delay.”
The bank had increased fixed deposit interest rates For a select term on July 1, 2022.