Date:30/12/2005 URL: http://www.thehindubusinessline.com/2005/12/30/stories/2005123002860600.htm

Back KVB plans term deposits drive

Our Bureau

Coimbatore , Dec. 29

KARUR Vysya Bank plans to commence the New Year with a one-month special campaign on term deposits.

During the campaign, the bank intends to offer 50 basis points more (over and above the regular interest rate) on deposits with tenure of one-three years.

On single high-value deposits of Rs 15-50 lakh, the bank would offer 25 basis points more, but this would be limited to deposits in the time bracket of 91 days and one year.

The rates remain unchanged at 4 per cent for the 15-29 days deposit, at 4.25 per cent and 5 per cent for deposits with tenure of 30-45 days and 36-90 days respectively.

Single high-value deposits between 91 days and 179 days would earn 5.75 per cent interest, while the others would continue to get 5.5 per cent interest.

For periods beyond 180 days but less than one year, the offer rate would be 6 per cent and 6.25 per cent depending on the deposit size.

While the one-year tenure rate for the single high-value deposit is 7.25 per cent, it has been increased by 50 basis points for deposits below Rs15 lakh to 7 per cent.

Immaterial of the size, all deposits would attract interest at 7 per cent for tenure of one-three years.