Festive Bonanza: Public sector lender Canara Bank hikes Fixed Deposit interest rates up to 135 bps; investors to get better returns

Canara Bank: Fixed deposits with a maturity time of 666 days will earn an interest of 7 per cent (general public) and 7.5 per cent for senior citizens.

Amid the ongoing festivities, the public sector lender Canara Bank has brought cheers to investors as it hiked fixed deposit interest rates by up to 135 basis points across tenors. Now, investors will get a better return. According to Canara Bank's website, the new rates have come into effect from October 7. 

The bank now offers an interest rate of 3.25 per cent on deposits maturing between seven days and 45 days and 4.25 per cent for term deposits maturing in 46 days to 90 days. Time deposits with a maturity tenor of 91 days to 179 days will now earn an interest rate of 4.5 per cent. 

Fixed deposits maturing between 180 days to 269 days will now earn 5.9 per cent interest for the general public and 6.4 per cent for senior citizens. The bank is offering an interest rate of 6 per cent for the general public and 6.5 per cent for senior citizens on deposits for 270 days to less than one year. 

For fixed deposits with a maturity time of one year, the bank is offering an interest rate of 6.5 per cent for the general public and 7 per cent for senior citizens. Deposits above one year and less than two year maturity period will now earn a rate of interest of 6.5 per cent for the general public and 7 per cent for senior citizens.

Fixed deposits with a maturity time of 666 days will earn an interest of 7 per cent (general public) and 7.5 per cent for senior citizens. Canara Bank is now offering a rate of 6.5 per cent for the general public and 7 per cent for senior citizens on fixed deposits with a maturity period between 2 years and 3 years.

Deposits above three years and less than 5 years will get an interest rate of 6.5 per cent for the general public and 7 per cent for senior citizens. Fixed deposits with a maturity of five years and above to 10 years will earn an interest rate of 7 per cent for the general public and 7.5 per cent for senior citizens. 

Canara Bank said that the rates are applicable only for a single deposit of Rs 5 Lakh & above. "Minimum period for renewal of domestic/NRO term deposits is 7 days irrespective of the size of the deposit. Below Rs 5 Lakh, Minimum tenor of deposit is 15 Days. Additional interest of 0.50% for Senior Citizens is available for Deposits (Other than NRO/NRE and CGA Deposits) less than Rs 2 Cr and with tenor of 180 Days and above," said the Bank.