Kotak Mahindra Bank interest rate for savings account to remain at 6 per cent
Tribune News Service
Chandigarh, June 2
In an environment where interest rates are on a downward trajectory, Kotak Mahindra Bank (KMB) on Thursday announced that its customers will continue to enjoy 6 per cent interest rate per annum on savings account for balance above Rs 1 lakh, and 5 per cent interest rate for balance up to Rs 1 lakh.
The Private sector Bank has 66 branches in Punjab and 42 branches in Haryana. In Chandigarh it has seven branches. Taking a cue from the deregulation of savings bank interest rates by the Reserve Bank of India (RBI) in October 2011, KMB was amongst the first banks to revise its interest rates upwards to 6 per cent per annum for balance above Rs 1 lakh. Most banks still continue to offer 4 per cent per annum.
Ambuj Chandna, senior executive vice president, Kotak Mahindra Bank, said, “We are in an environment where interest rates are headed downwards. While the focus is always on the borrower, very little or no thought is being spared for depositor. In this scenario, we have taken a strong decision to continue with our 6 per cent proposition. The savings account can be a powerful tool for financial planning. We have a unique product suite, with customised offerings for each target segment that are bundled with the benefits of 6 per cent interest rate.”
“We want everyone to earn more with 6 per cent and not be content with 4 per cent interest. Savers often fail to realise how much more they could earn on their savings with a higher interest rate,” Chandna added.
