Sundaram Finance, a non-banking financial company, on Wednesday said it would raise its interest rates on deposits by 25 basis points (bps) from October 19.
One basis point is a hundredth of a percentage point.
The rates will be raised to 7.75 percent from 7.50 percent for deposits and renewals for a tenure of 12 and 18 months, the company said in a statement.
For deposits of 24 and 36 months, the rates would be increased to 8 percent from 7.75 percent, the release said.
For senior citizens, the rates would be hiked to 8.25 percent from 8 percent for 12 and 18 months, it said.