Kotak Mahindra Bank Fixed Deposit Rates

Kotak Mahindra Bank, a prominent private sector bank in India with 1,700 branches and 2,705 ATMs, offers a variety of Fixed Deposit (FD) schemes known for their safety and competitive returns. As of April 2025, following the Reserve Bank of India’s (RBI) repo rate reduction to 6%, Kotak Mahindra Bank has updated its FD interest rates, providing 2.75% to 7.15% p.a. for general citizens and 3.25% to 7.65% p.a. for senior citizens on deposits below ₹3 crore. This article outlines the latest Kotak Mahindra Bank FD rates, features, benefits, and frequently asked questions (FAQs), optimized for search engines to assist you in making informed investment choices.

Table of Contents

Kotak Mahindra Bank Fixed Deposit Rates 2025

Kotak Mahindra Bank offers FD rates for tenures ranging from 7 days to 10 years, with interest compounded quarterly for cumulative FDs. The rates below are effective from April 30, 2025, for domestic, NRO, and NRE deposits below ₹3 crore with premature withdrawal facilities.

Tenure	General Citizens (% p.a.)	Senior Citizens (% p.a.)
7 days to 14 days	2.75	3.25
15 days to 30 days	3.00	3.50
31 days to 45 days	3.25	3.75
46 days to 90 days	4.75	5.25
91 days	5.00	5.50
92 days to 120 days	5.50	6.00
121 days to 179 days	5.50	6.00
180 days to 269 days	6.50	7.00
270 days to 364 days	6.50	7.00
365 days to 389 days	6.75	7.25
390 days	6.90	7.40
391 days to 23 months	7.15	7.65
23 months to < 2 years	7.00	7.50
2 years to < 3 years	6.75	7.25
3 years to < 4 years	6.25	6.75
4 years to < 5 years	6.25	6.85
5 years to 10 years	6.20	6.70
Tax-Saver FD (5 years)	6.20	6.70

Notes:

Senior citizens (60+ years) receive an additional 0.50% p.a., except for 4–5 year tenures, where they get 0.60% extra.
Rates for deposits of ₹3 crore to ₹5 crore range from 2.75% to 7.40% p.a. for general citizens and 3.25% to 7.90% p.a. for senior citizens.
NRE FDs require a minimum 1-year tenure, with no interest paid if withdrawn before 365 days.
Minimum deposit: ₹5,000 for domestic FDs (₹10,000 for first-time FDs), ₹100 for Tax-Saver FDs, and ₹25,000 for NRO/NRE FDs.
A 91-day tenure was introduced at 5.00% p.a. for general citizens and 5.50% p.a. for senior citizens.

Key Features of Kotak Mahindra Bank Fixed Deposits

Kotak Mahindra Bank FDs combine flexibility, security, and attractive returns. Key features include:

Flexible Tenures: Choose from 7 days to 10 years to align with your financial goals.
Payout Options: Opt for monthly, quarterly, or at-maturity payouts, or reinvest interest for compounding.
Sweep-In Facility: Link FDs to savings or current accounts, transferring funds in ₹5,000 multiples to cover account shortages.
Overdraft Facility: Borrow up to 90% of the FD amount without breaking the deposit.
Premature Withdrawal: Permitted with penalties: no penalty for tenures ≤180 days, 0.5% for 181–364 days, and 1% for ≥365 days (for bookings after May 20, 2022). Tax-Saver FDs have a 5-year lock-in.
Tax-Saver FD: Offers tax deductions up to ₹1.5 lakh under Section 80C with a 5-year tenure.
Special FDs: Higher rates for tenures like 390 days (6.90% p.a. for general citizens) and 391 days to 23 months (7.15% p.a.).
NRI Options: Includes NRE, NRO, FCNR (in USD, GBP, EUR, JPY, AUD, SGD), and RFC FDs for NRIs and returning residents.

Benefits of Kotak Mahindra Bank FDs

Guaranteed Returns: Fixed rates ensure predictable earnings, insured up to ₹5 lakh by DICGC.
Senior Citizen Benefits: Extra 0.50%–0.60% p.a. enhances returns for those 60+.
Digital Access: Open and manage FDs via NetBanking or the Kotak Mobile App.
Tax Savings: Tax-Saver FDs reduce taxable income, though interest is taxable.
Liquidity Options: Sweep-in and overdraft facilities provide financial flexibility.
Nomination Facility: Ensures smooth fund transfer to nominees.

How to Open a Kotak Mahindra Bank FD

Opening an FD with Kotak Mahindra Bank is straightforward, either online or offline:

Online:
1. Log in to Kotak NetBanking or the Kotak Mobile App.
2. Go to “Investment” > “Open a Fixed/Recurring Deposit.”
3. Enter deposit amount, tenure, payout option, and nominee details.
4. Verify and submit to receive an FD receipt instantly.
Offline:
1. Visit a Kotak Mahindra Bank branch.
2. Complete the FD application form.
3. Submit KYC documents: Aadhaar, PAN, passport, voter ID, driving license, or utility bill.
4. Deposit the amount to receive an FD receipt.

Eligibility: Resident Indians, NRIs, HUFs, sole proprietorships, minors (with guardians), and senior citizens.

Taxation on Kotak Mahindra Bank FDs

Interest Income: Taxable as per your income tax slab. TDS is deducted at 10% if interest exceeds ₹40,000 p.a. (₹50,000 for senior citizens) with PAN, or 20% without PAN. Submit Form 15G/H to avoid TDS if eligible.
Tax-Saver FD: Offers deductions up to ₹1.5 lakh under Section 80C, with a 5-year lock-in.

Why Choose Kotak Mahindra Bank FDs in 2025?

Kotak Mahindra Bank FDs are a compelling choice due to:

Competitive rates, peaking at 7.15% p.a. for general citizens and 7.65% p.a. for senior citizens on 391 days to 23 months.
High safety with DICGC insurance and Kotak’s ‘AA+’ credit rating.
Flexible features like sweep-in, overdraft, and multiple payout options.
Seamless digital banking for instant FD opening and management.

Frequently Asked Questions (FAQs)

1. What are the latest Kotak Mahindra Bank FD rates for 2025?
Rates range from 2.75% to 7.15% p.a. for general citizens and 3.25% to 7.65% p.a. for senior citizens, effective April 30, 2025.

2. What is the minimum deposit for a Kotak Mahindra Bank FD?
₹5,000 for domestic FDs (₹10,000 for first-time FDs), ₹100 for Tax-Saver FDs, and ₹25,000 for NRO/NRE FDs.

3. Can I withdraw my Kotak Mahindra Bank FD prematurely?
Yes, except for Tax-Saver FDs. Penalties are: no penalty for ≤180 days, 0.5% for 181–364 days, and 1% for ≥365 days.

4. Does Kotak Mahindra Bank offer a Tax-Saver FD?
Yes, with a 5-year lock-in, offering 6.20% p.a. for general citizens and 6.70% p.a. for senior citizens, with tax deductions up to ₹1.5 lakh under Section 80C.

5. How is interest calculated on Kotak Mahindra Bank FDs?
Cumulative FDs compound interest quarterly. Non-cumulative FDs pay simple interest monthly or quarterly. Simple interest applies at maturity for tenures below 181 days.

6. Are Kotak Mahindra Bank FDs safe?
Yes, insured up to ₹5 lakh by DICGC and supported by Kotak’s strong financial stability.

7. Can NRIs open Kotak Mahindra Bank FDs?
Yes, NRIs can open NRE (1–10 years), NRO (7 days–10 years), FCNR (in multiple currencies), or RFC FDs.

8. What is the sweep-in facility in Kotak Mahindra Bank FDs?
It links FDs to savings or current accounts, transferring funds in ₹5,000 multiples to cover shortages, using only the principal amount.