After SBI cut its deposit rate for balances above Rs. 1 lakh by 25 basis points to 3.25%, the private sector lender also followed suit. Kotak Bank has slashed interest rates on deposits of up to Rs. 1 lakh by 50 bps to 4.5% from the earlier 5%. As per the bank's website, the new rates will become applicable from April 15.
Interest rates on savings deposits of above Rs 1 lakh and below Rs 1 crore is unchanged at 6 percent. Also, the rate on savings deposit of above Rs 1 crore remains at 5.5 percent.
Also, for select tenure effective April 1, the lender reduced its MCLR based lending rate by 10 bps. 1 basis point is one-hundredth of a percentage point.