Kotak vs PNB FD Rates — Which is Better in 2026?

Kotak offers 7.20% FD rate (1-year) vs PNB at 6.80%. Kotak gives you ₹400 more interest per year on a ₹10L deposit. Both banks are RBI-regulated and DICGC insured up to ₹5L per depositor.

Last updated: April 6, 2026

Kotak

7.20%

FD rate (1 year)

✓ Better deal

PNB

6.80%

FD rate (1 year)

Kotak vs PNB FD Rates — Detailed Comparison

FD Rate (1Y)

Kotak

7.20%

PNB

6.80%

Account Opening

Kotak

No fee

PNB

No fee

Tenure

Kotak

7 days – 10 years

PNB

7 days – 10 years

Eligibility

Kotak

Any individual, joint, HUF

PNB

Any individual, joint, minor

Verdict

Kotak offers the better FD rate (7.20%) vs PNB (6.80%). Both are DICGC insured up to ₹5L. If you have more than ₹5L to park, split across banks to maximise insurance coverage. Senior citizens get an additional 0.50% at most banks — always check the senior citizen rate separately.

Frequently Asked Questions

Which bank gives higher FD interest — Kotak or PNB?+
Kotak offers a higher FD rate. Kotak pays 7.20% and PNB pays 6.80% on a 1-year FD. For longer tenures (3-5 years), rates may differ — always check the bank's rate card for your specific tenure.
Is FD in Kotak or PNB safer?+
Both banks are RBI-regulated and deposits are insured by DICGC up to ₹5 lakh per depositor per bank. For amounts above ₹5L, consider splitting across both banks to maximise insurance coverage.
What is the maturity amount on a ₹1L FD for 1 year?+
At Kotak's rate of 7.20%, a ₹1L FD matures to approximately ₹1,07,397. At PNB's rate of 6.80%, it is ₹1,06,975. Interest is taxable as per your income tax slab.

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Disclaimer: Interest rates shown are indicative as of April 2026 and subject to change without notice. Actual rates depend on your credit score, income, and bank policy. This is for informational purposes only and does not constitute financial advice. Always verify rates with the bank before applying.