FD Hike: There is good news for those who keep their hard earned money in bank FDs. Karur Vysya Bank has announced a hike in interest rates on FDs.
New Delhi. After the increase in repo rate by RBI, banks have also started increasing interest rates. Apart from increasing the interest rate on loans, the interest rates on bank deposits have also started increasing. Meanwhile, the private sector’s Karur Vysya Bank i.e. KVB (Karur Vysya Bank) has increased the interest rates on fixed deposits i.e. FD.
New rates will be effective from November 10, 2022
According to the official website of the bank, the new rates of Karur Vysya Bank will be effective from November 10, 2022. The bank has increased the interest rates on FDs of less than 2 crores. The bank is now offering an interest rate of 4.00 per cent to 6.25 per cent for the general public on FDs maturing in 7 days to above 6 years. Karur Vysya Bank will now pay a maximum interest rate of 7.25% for general public and 7.65% for senior citizens on deposits maturing in 555 days.
Karur Vysya Bank FD Rates
According to Karur Vysya Bank, the bank will now offer 4.00% interest rate on FDs maturing in 7 days to 30 days and 5.25% interest rate on those maturing in 31 days to 120 days. Deposits maturing in 121 days to 180 days will now fetch 5.50% interest, while deposits maturing in 181 days to less than 1 year will now fetch 6.00% interest.
On FDs maturing in 1 year to 554 days, Karur Vysya Bank will now offer an interest rate of 6.50% and on those maturing in 555 days, the bank will now guarantee an interest rate of 7.25%. On FDs maturing from 556 days to 2 years, the bank is offering an interest rate of 6.50% and on FDs maturing above 2 years to 3 years, the bank will now offer an interest rate of 7.00%.
RBI has increased the repo rate for the fourth time in a row
Significantly, to stop the rising inflation in the country, RBI has increased the repo rate for the fourth time in a row. Now the repo rate has reached 5.90 percent. In the MPC meeting of RBI on September 30, it has been decided that the repo rate will be increased by 0.50 per cent for the fourth time in a row. Now the repo rate has been increased from 5.40 percent to 5.90 percent. Earlier, after 0.40 per cent increase in May, there was an increase of 0.50-0.50 per cent in June and August.
Many banks have increased the rates of fixed deposits
It is noteworthy that recently RBL Bank, Axis Bank, CSB Bank Limited, Kotak Mahindra Bank, Canara Bank, Indian Overseas Bank etc. have also increased their FD rates. This process of rate hike has started after the increase in repo rates by RBI.
