Karnataka Bank Fixed Deposit

Karnataka Bank is one of the leading fixed deposit providers in the country. The Bank offers FD with flexible tenures ranging between to . Apart from that, Karnataka Bank FD offers regular returns on fixed deposit ranging between 3.40% to 5.70%. For senior citizens, the interest rates on fixed deposits range between 3.80% to 6.95%. In addition to that, Karnataka Bank fixed deposit plans offer tailor-made fixed deposit products for different kinds of fixed deposit investors.

Different type of Karnataka Bank term deposit products offered to the investors are listed as follows:

Karnataka Bank fixed deposit is a popular investment option due to a number of benefits it provides to the FD investors. Some of these are listed as follows:

• Guaranteed returns: The best thing about Karnataka Bank FD is that it offers guaranteed and assured returns to the investors. The return offered on fixed deposit is regulated by the Bank on a monthly, or quarterly basis, as per the Bank’s choice. Currently, Karnataka Bank offers FD rates up to 5.70%. The interest rates offered on Karnataka Bank FD is not only assured but also way higher than a savings account.
• Insured by the Government: The Deposit Insurance and Credit Guarantee Corporation offers deposit insurance of ₹ 5 Lakh to fixed deposits across all banks. Investing in a FD with a FD provider with the highest rating of AAA, rated by ICRA and CRISIL, is a reliable investment option.Thus, Karnataka Bank term deposit is safe and secure, as the funds are backed by the government no matter what the current situation of the Bank is.
• Loan against FD: The investment made in FD scheme is not only a reliable investment option but can also act as an asset. This is because Karnataka Bank fixed deposit allows one to borrow a secured loan against Karnataka Bank FD. The Bank allows a loan up to 90-95% of the FD amount. The best part about Karnataka Bank loan against fixed deposit is that one does not need to break his or her FD to borrow the loan.
Loan Against Fixed Deposit
• Flexible tenures: Karnataka Bank FD offers the investors the flexibility to choose the investment tenure as per their convenience. Karnataka Bank offers fixed deposit for a minimum tenure of up to a maximum tenure of . Karnataka Bank offers different interest rates across FD tenures.
• Flexible investment: Apart from the flexibility of tenure, Karnataka Bank fixed deposit offers the flexibility of funds to FD investors as funds can be invested with a minimum amount of . Apart from that, one can invest in the Karnataka Bank FD up to a maximum of .

Though a fixed deposit with Karnataka Bank means depositing funds for a fixed period of time in expectation of a regular return. However, keeping in view the instability in the markets, the Bank allows premature withdrawals of funds from a fixed deposit. This means that investors can withdraw their funds before the date of maturity to fulfil their urgent financial conditions.

Withdrawing funds prematurely from Karnataka Bank will attract an interest rate lowered by below the effective rate on the date of booking the FD. The penalty charged on fixed deposits is valid only on fixed deposits with a tenure greater than seven days. In case of premature withdrawal of Karnataka Bank fixed deposits with tenure less than seven days, the bank does not pay any interest.

Karnataka Bank FD facility can be availed by the following type of investors:

• Indian Citizens
• Members of HUFs or the Hindu Undivided Family
• Business firms
• Local governing bodies
• Government departments
• Employees of private limited companies
• Trust accounts

Karnataka Bank fixed deposit requires one to submit the following documents:

• Passport size photographs
• Identity proofs such as Aadhar card, passport, PAN card, and driving license.
• Address proofs such as passport, ration card, utility bills such as water, gas or electricity bill.
• Age proof such as birth certificate, matriculation passing certificate, and Voter ID card.
• Bank account details such as passbook and account number.

✅What is the loan against FD repayment tenure?

Karnataka Bank offers the loan against FD facility to the FD investors with a repayment tenure of up to .

✅ What is the minimum investment for FDs under Karnataka Bank?

Karnataka Bank FD can be availed with a minimum deposit of .

✅ What is the minimum amount for a fixed deposit in Karnataka Bank?

The minimum amount required for a fixed deposit investment in Karnataka Bank fixed deposit is .

✅ What is the current interest rate on FD in Karnataka Bank?

Currently, Karnataka Bank offers an interest rate ranging between 3.40% to 5.70% on its fixed deposits.

✅ What is the penalty for early withdrawal?

The penalty for early withdrawal ranges between 0.5% to 1% in most cases, based on the loan amount and tenure.

✅ What is the minimum FD tenure for which a fixed Deposit account can be opened in Karnataka Bank?

Karnataka Bank fixed deposit can be opened with a minimum tenure of .