New Delhi: Fourth largest private sector lender in India Kotak Mahindra Bank, which has revised interest rates on daily balances in its savings account multiple times over the past year or so, has again made a change. Effective April 20, daily balances above Rs 1 lakh in savings account will now earn 4.5 per cent interest per annum. For daily balances up to Rs 1 lakh, the bank has now revised the rate to 3.75 per cent per annum. “The interest rates mentioned are applicable for Resident Accounts only,” the bank said in a notification on its website.
This comes days after the bank had decided to pass on the relief of the three-month moratorium announced by the Reserve Bank of India last month to borrowers, account holders and credit cardholders. Kotak Bank had extended all credit facilities outstanding as on March 31, 2020, by three months even though it wouldn’t be applicable to loan disbursements to be made in April 2020 and ahead. Importantly, brokerage firm UBS had reportedly downgraded Kotak Mahindra Bank from ‘neutral’ to ‘sell’ even as it has cut the bank’s 12-month target price from Rs 1,500 to Rs 1,050.
