Kotak Bank FD Rate: Kotak Bank pays a 6.8% interest to senior citizens on a fixed deposit of one yearKotak Mahindra Bank pays interest rates to the tune of 3.50-6.80 per cent to customers on fixed deposits up to Rs 2 crore.
These fixed deposits, also known as retail term deposits, are available in 20 maturity options ranging from seven days to 10 years at the private sector lender.
Kotak Bank pays higher returns to senior citizen retail depositors compared to other customers.
For example, on a fixed deposit up to Rs 2 crore of one year, ICICI Bank pays interest at the rate of 6.80 per cent to senior citizen customers and 6.30 per cent to other customers, according to its website - kotak.com.(: Compare Bank FD Rates Paid By Peers Here)Kotak Mahindra Bank Fixed Deposit RatesMaturity PeriodInterest Rate (With Effect From November 27)PublicSenior CitizenSeven to 14 days3.50%4.00%15 to 30 days4.00%4.50%31 to 45 days4.75%5.25%46 to 90 days5.25%5.75%91 to 120 days5.40%5.90%121 to 179 days5.40%5.90%180 days5.75%6.25%181 to 269 days5.80%6.30%270 days5.80%6.30%271 to 363 days6.05%6.55%364 days6.05%6.55%365 to 389 days6.30%6.80%390 days (12 months and 25 days)6.30%6.80%391 days to less than 23 months6.30%6.80%23 months6.30%6.80%23 months and one day to less than two years6.30%6.80%Two years to less than three years6.25%6.75%Three years and above but less than four years6.20%6.70%Four years and above but less than five years6.20%6.70%Five years and above up to and inclusive of 10 years6.10%6.60%(Source: kotak.com)Investment in fixed deposits with a maturity period of five years offers income tax benefit up to Rs 1.5 lakh per financial year under Section 80C of the Income Tax Act.
Interest income, however, is subject to income tax.