What are the Latest Kotak Bank RD Interest Rates in 2025?

Recurring Deposits (RDs) help you save a fixed amount every month while earning steady interest. It’s one of the safest options to grow your money gradually without taking on any risk. You can start an RD with many banks. Among those, the recurring deposit in Kotak Bank offers competitive rates, flexible tenures and easy digital access. This makes it a convenient choice for both new and experienced savers.

Overview of Kotak Bank RD Interest Rates

Maturity Period	Regular Rate (p.a.)	Senior Citizen Rate (p.a.)
6 – 9 months	6.00%	6.50%
12 months	7.10%	7.60%
15 to 21 months	7.40%	7.90%
24 to 35 months	7.15%	7.65%
36 to 59 months	7.00%	7.60%
60 to 120 months	6.20%	6.70%

Please note: Interest rates can change, so it’s best to check with the bank for the latest rates before you invest.

Key Features of Kotak Bank RD

Saving with an RD becomes easier when you know what to expect. Here are some of the key features that make Kotak’s RD a convenient savings option:

• Low entry barrier: You can start an RD with as little as ₹100 per month. This makes it accessible even to entry-level investors. 
• Flexible deposit limit: You can deposit up to ₹25,000 monthly for RDs over 36 months. For shorter tenures, you can deposit higher amounts up to ₹1,00,000 per month.
• Tenure choice: Choose from 6 months to 10 years. You can select a tenure depending on your financial goals and liquidity needs.
• Compounded returns: Interest is compounded quarterly and paid out at maturity, helping your money grow faster.
• Penalty for missed payments: A charge of 2% over and above the RD rate is applied on delayed instalments. This helps encourage consistency.
• Premature withdrawal rules: Penalty is 0.5% for tenures between 6 and 12 months. For longer tenures, the penalty is 1%. In case you plan to withdraw within 1 month of opening the account, no penalty is applicable.
• Loan against RD: You don’t have to break your RD in case of an emergency. You can take a loan of up to 90% of your RD amount.
• TDS applicability: Interest earned is subject to tax deducted at source (TDS) as per the current income tax rules.

Benefits of Kotak Bank Recurring Deposits

Apart from a competitive Kotak Mahindra Bank RD interest rate, these benefits make it a dependable savings option: 

• Disciplined saving made easy: Automated monthly contributions help you stay consistent with your savings.
• Safe and fixed returns: Your money grows without any market-linked risks. This makes it an ideal choice for conservative investors.
• Senior citizen rate benefit: If you’re 60 or above, you earn an extra 0.5% p.a. on your RD. This can significantly boost your overall returns.
• Online convenience: You can start, manage and even close your RD entirely online. This can be done through Kotak Bank’s net banking or mobile app.
• Emergency support: Instead of breaking your RD early, apply for a loan against it and keep your savings intact.

Eligibility and Documents Required

Eligibility

• Indian citizens and Hindu Undivided Families can open an RD account.
• Even minors can open an RD under the supervision of a parent or guardian.
• Applicants must hold a savings account with Kotak Bank to open an RD.

Documents Required 

• PAN card, Aadhaar card, Voter ID or Passport.
• Utility bills, bank statement, or driving licence.
• Passport-size photos and a signature proof are also required.
  

How to Open an RD with Kotak Bank?

You can open a Kotak Bank RD through three simple channels, based on what’s most convenient for you.

• Online: Log in to Kotak Net Banking to open an RD instantly.
• Offline: Visit your nearest Kotak Mahindra Bank branch and fill out the RD form.
• Phone banking: You can also request assistance by contacting Kotak Bank’s customer service.

If you don’t already have a Kotak savings account, you’ll need to open one first before you can start an RD.

The Kotak Bank RD interest rates in 2025 make it a solid choice for those who want reliable and risk-free returns. Whether you’re planning a vacation or saving for education, an RD can help you stay prepared. Kotak’s RD gives you the structure and discipline to reach your goal.

And if a sudden expense comes up before your RD matures, Fibe’s Instant Cash Loan can help. You can get up to ₹5 lakhs within 2* minutes through a 100% digital journey.
The best part is that you can use the money for anything you need. Download the Fibe App today and explore more!

FAQ on Kotak Bank RD Interest Rates 2025

What is the interest rate of RD in Kotak Bank?

Kotak Bank RD interest rates for 2025 range from 6.00% to 7.40% p.a. for regular customers. Senior citizens get an additional 0.5% p.a. on their deposits. These rates vary based on your chosen tenure and customer category.