FD interest rate up to 9.5%: Banks offering highest FD interest rates for senior citizen investors
A reliable source of income and capital security, fixed deposits (FDs) are a wise financial choice, particularly for older investors who need consistent returns. Because of its safety, consistent returns, and the greatest fixed deposit rates for older adults, this product is quite popular. With its characteristics, senior citizen FDs are a product that appeals to people who want a steady income after retirement.Senior citizens are eligible for preferential fixed deposit rates, often higher than those offered to general depositors. Seniors can increase the growth of their savings at a higher rate with senior citizen FD rates without having to take on more risks. Their savings will increase more quickly thanks to the increased interest rate, helping them to beat inflation and preserve their purchasing power after retirement.
Also read: FD interest rate up to 8.1%: Top banks offering highest interest rates on 1-3 year fixed deposit tenures
Here are banks offering best rate for senior citizens fixed deposit interest rates, according to the Paisabazaar data.
Bank NameInterest Rates (%) (p.a.) Additional rates offered to Super Senior Citizen* (over and above to senior citizen rates; %) Highest slab 1-year tenure (%)3-year tenure (%)5-year tenure (%) %Tenure SMALL FINANCE BANKSAU Small Finance Bank8.518 months7.2587.75---Equitas Small Finance Bank9444 days8.78.57.75---ESAF Small Finance Bank8.752 years to less than 3 years6.57.256.75---Fincare Small Finance Bank8.518 months7.2587.75---Jana Small Finance Bank9365 days97.757.75---NorthEast Small Finance Bank9.25555 days; 1111 days8.58.757---Suryoday Small Finance Bank9.255 years7.359.19.25---Ujjivan Small Finance Bank915 months8.757.77.7---Unity Small Finance Bank9.51001 days8.358.658.65---Utkarsh Small Finance Bank9.12 years to 3 years8.69.18.1---PRIVATE SECTOR BANKSAxis Bank7.8517 months to less than 18 months7.27.67.75---Bandhan Bank8.351 year8.357.756.6---City Union Bank7.5400 days76.756.5---CSB Bank7.75401 days5.56.256.25---DBS Bank8376 days to 540 days7.577---DCB Bank8.625 months to 26 months7.658.17.9---Federal Bank8500 days7.37.57.25---HDFC Bank7.755 years 1 day to 10 years & 18 months to less than 21 months7.17.57.5---ICICI Bank7.7515 months to 2 years7.27.57.5---IDFC First Bank8.5500 days77.757.5---IndusInd Bank8.251 year to 2 years8.257.757.75---Jammu & Kashmir Bank7.551 year to less than 2 years7.5577---Karur Vysya Bank8444 days7.47.47.4---Kotak Mahindra Bank7.9390 days to less than 23 months7.67.66.7---Nainital Bank7.55400 days - Naini Plus 2023 Deposit Scheme7.26.756.250.10% on all tenuresRBL Bank8.618 months to 2 years887.60.25% on all tenuresSBM Bank India9Above 3 years 2 days to less than 5 years7.68.157.55---South Indian Bank7.9400 Days7.27.26.5---Tamilnad Mercantile Bank8.25444 days (TMB 444 – Special Deposit)7.577---YES Bank8.2518 month to less than 2 years7.7588---PUBLIC SECTOR BANKSBank of Baroda7.75Above 2 years to 3 years7.357.757.15---Bank of India7.752 years7.37.256.750.15% on tenures of 180 days to 10 yearsBank of Maharashtra71 year76.256.25---Canara Bank7.75444 days7.357.37.20.10% on 444 daysCentral Bank of India7.75555 days7.2576.75---Indian Bank7.75400 days - IND SUPER6.66.756.750.25% on all tenuresIndian Overseas Bank7.8444 days7.4770.25% on all tenuresPunjab National Bank7.75400 days7.257.570.30% for tenures up to 5 yearsPunjab & Sind Bank7.75444 days6.76.56.50.15% on tenure of 444 daysState Bank of India7.6400 days - Amrit Kalash7.37.257.5---Union Bank of India7.75399 days7.25770.25% on all tenuresFOREIGN BANKS Deutsche Bank8Above 1 year to 3 years787.5---HSBC Bank7.75732 days to less than 3 years4.57.56.5---Standard Chartered Bank82 years to less than 3 years7.657.67.25---Note: *Depositors aged 80 years and aboveSource: Paisabazaar.comInterest rates as of 9 April 2024
Benefits of FD Laddering
The potential risk of putting all of the money in one FD at a fixed rate is reduced when investors use FD laddering to distribute their investments over a number of tenures and FD rates. You may reserve many FD accounts for terms varying from seven days to ten years, all while protecting your money.
Also read: SBI vs HDFC Bank vs IDBI Bank: Check last date to invest in special FDs with higher interest rates
Compared to investing in a single long-term FD, you can earn greater returns by spreading your money over several schemes with varying tenures and FD rates. Furthermore, you have the option to reinvest both the principle amount and interest income upon maturity to take advantage of the compounding effect and earn even larger profits. Investing in many FDs with different maturities might let investors keep more cash on hand. In this manner, one can benefit from a maturing FD rather than having to liquidate a continuing one in the event of a financial need.
This story originally appeared on: India Times - Author:Faqs of Insurances
