Kotak Bank - Fixed Deposit Interest Rates

As of August 2026, Kotak Bank offers a highest interest rate of 6.80% p.a. for general citizens and 7.30% p.a. for senior citizens on fixed deposits.

Yes, Kotak Bank is a registered bank regulated by the RBI. Your deposits (up to ₹5 Lakhs per depositor) are insured by DICGC, which covers both principal and accrued interest.

The minimum tenure for a fixed deposit with Kotak Bank starts from 7 Days. Longer tenures may offer higher interest rates.

Yes, Kotak Bank offers an additional benefit of up to 0.50% p.a. over the general citizen rate for senior citizens (aged 60 and above).

Yes, interest earned on fixed deposits is taxable as per your income tax slab. TDS is deducted at 10% if total interest exceeds ₹40,000 per year (₹50,000 for senior citizens). You can submit Form 15G/15H to avoid TDS if your total income is below the taxable limit.

Kotak Mahindra Bank charges zero penalty for FDs closed within 180 days. For tenures between 181 and 364 days, a 0.50% penalty applies. FDs with tenures of 365 days (1 year) or more attract a 1.00% penalty. Penalty is deducted from the rate applicable for the actual period held.

As of August 2026, Kotak Bank offers special FD rates for 180 days at 5% (5.5% for Seniors), 270 days at 5.5% (6% for Seniors), and 364 days at 6% (6.5% for Seniors).