The increased interest rates for fixed deposits below Rs 2 crore at the Federal Bank are now effective, reported LiveMint.
The publication cited an update from the lender to say that the bank is now giving interest rates between 3 per cent and 6.30 per cent on deposits maturing in seven days to 2,223 days for the general public. For senior citizens, the rates vary from 3.50-6.95 per cent.
Deposits with maturities between 18 months and two years will now earn a maximum interest rate of 7.25 per cent for the general public and 7.75 per cent for senior citizens.
Similarly, deposits that mature between 91 and 119 days will earn 4.50 per cent interest rate, while deposits maturing between 120 and 180 days will fetch interest at a rate of 4.75 per cent, the report said.
Deposits that mature after two years but in less than three years will fetch an interest rate of 6.75 per cent. Those that mature between three and five years will earn an interest rate of 6.50 per cent. The banker has outlined several other slabs.
“We understand your preference for ‘Safety, Liquidity and Return’, while choosing your bank. Hence we remain committed to ensuring that your deposits with us earn handsome returns too, by way of interest. We are transparent in communicating the rates and charges of our bank on deposits,” the Federal Bank, a private sector bank headquartered in Aluva, Kochi, Kerala mentioned on its website.
“Deposits opened for a period of 2,222 days will be treated as Green Deposits and these deposits will be exclusively used for funding Green loan portfolio,” it further said.