Diwali bonanza! Karnataka Bank hikes deposit interest rates from tomorrow; check details

The Karnataka Bank on Wednesday raised deposit interest rates for amounts up to 10 crores across various maturity periods. For below Rs 2 crore deposits invested for 7 days to 90 days, Bank will now offer 5.25%. For the same period, on deposits of Rs 2 crore to Rs 10 crore, the revised rate will be 5.60%.

For a maturity period of 1 to 2 years, interest rates on below Rs 2 crore deposits are increased to 6.40%. The revised rates for Rs 2 crore to Rs 10 crore for the same period will be 6.50%.

These revised interest rates will be effective from September 29, 2022. 

The bank in a statement said that Dussehra marks the beginning of the festival season, as many more auspicious festivals like Diwali are to follow. "Joining in this happiness and celebrations, Karnataka Bank greets all its customers as well as its prospective customers with a hike in term deposit interest rates," it said.

In June this year, the bank had increased interest rates on its domestic and NRE rupee term deposits for amounts below Rs 2 crore. The rate of interest for 1-2 years deposits was increased to 5.35 per cent and above two years to five years, the rate was 5.50 per cent. 

In July, the bank reported nearly 8 per cent increase in net profit at Rs 114 crore for June quarter 2022-23. The profit was mainly due to growth in core income and a decrease in bad loans.