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Mumbai, Oct 14: than Rs 15 lakh only. This revised interest rate is applicable from October 15.

Private sector lender ING Vysya Bank has hiked interest rates on different maturities of domestic term deposits. The new rates are effective from October 8. The new rates are particularly attractive in the market for a duration of 99 to 364 days TD at 10.00% and for 365 days TD at 11.00%. Senior citizens get an additional benefit of 50 basis points on term deposits placed for any maturity above 91 days.

Some banks affected by the tight money policy, however, are not able offer any discount to their customers. HDFC Bank is not coming out with any festive offer. HDFC Ltd, which usually announces many discounts during festival periods, is not offering any festive offer on lending or deposit rates. An official said the institution's financial position is very tight.

The chairman and managing director of another state-owned bank, on condition of anonymity, said at a time when the cost of funds is rising and liquidity was not easing, few can afford to offer festive discounts. “With these interest rates, it can only lead to higher delinquency rates. Interest rates on lending are so bound to be high,'' he said.