Karnataka Bank offers fixed deposit interest rates between 3.5% and 7.50% for general citizens for tenures ranging from 7 days to 10 years. The highest interest rate of 7.50% for general citizens and 8% for senior citizens is offered on a tenure of 375 days.
Latest Karnataka Bank FD interest rates
For general citizens, Karnataka Bank offers a 3.50% interest rate on tenures between 7 days and 45 days. The bank offers a 4% interest rate on tenures between 46 days and 90 days and 5.25% interest on tenures of 91 days to 179 days. The bank offers a 6.25% interest rate on 180 days to below 1 year tenure and a 7.25% interest rate on tenures of 1 year to 2 years. The bank offers the highest interest rate of 7.50% on a tenure of 375 days. For tenures above 2 years to 5 years, the bank offers 6.50% and 5.80% interest rates on tenures above 5 years to 10 years.
Senior citizens FD interest rates
According to the bank website, “Resident senior citizens get an extra 0.25% above the general rate up to & inclusive of Rs 5 crore only under domestic FD and ACC schemes (not for deposit under NRE/NRO/FCNR(B) accounts) for a tenure of 7 days to below 1 year, and an extra 0.50% above the general rate for a tenure 1 year to 10 years.
Premature closure
Penalty on applicable rate to be levied for premature closure of domestic callable term deposits is as follows:
When is the penalty on premature withdrawal of fixed deposits not applicable?
According to the Karnataka Bank’s website, “In case of splitting of the amount of callable term deposit at the request from the claimant/s of deceased depositors or joint account holders, no penalty for premature withdrawal of the callable term deposit shall be levied if the period and aggregate amount of the deposit do not undergo any change. Bank is poised its customer with Flexi deposit, wherein levying penalty interest for premature closure will not be applicable.”
