Sundaram Home Finance Limited (SHFL) has announced an increase in interest rates on fixed deposits for a period of one to three years with effect from February 1.
This was the fifth upward revision during this financial year, the wholly owned subsidiary of Sundaram Finance said in a statement.
For senior citizens, interest rates have been increased by 50 basis points to 8% per annum (7.50%) on two-year deposits. The interest rates on one year and three year deposits have been raised to 7.70% (7.50%) and 8% (7.80%) respectively.
For trusts, SHFL has increased rates on deposits of one, two and three years to 7.20% (7.15%), 7.50% (7.15%) and 8%, respectively.
For individuals other than senior citizens, the rates have been increased to 7.20% (7.15%), 7.50% (7.15%) and 7.50% (7.30%) on deposits of one, two and three years.
Interest rates on four and five deposits will remain unchanged.
“Depositors have responded positively to our FD interest rate hike of over 2% this year, taking our gross mobilization to over ₹350 crore,” said MD Lakshminarayanan Duraiswamy.
During the first half of FY23, SHFL reported a net profit of ₹97.5 crore on disbursements of ₹1,740 crore.