We all want to secure our financial future and with various options, it becomes extremely critical in deciding where to park our money for handsome returns. Although we all have different options for investing our money like in Direct Equity, Mutual Funds, NPS, Public Provident Fund, FD, Real Estate, Gold, and among all the options, Bank Fixed Deposit (FD) remains one of the top preferred choices.
Bank Fixed Deposits involve much lower risk and the returns are also guaranteed. Let us look at some of the Advantages and Disadvantages of Having a Fixed Deposit Account.
Advantages of Having a Fixed Deposit Account:
- Returns are Assured
- Provide Flexibility in deciding Deposit Tenure
- Rate of Returns
- Less Volatility
- Help in Liability Crunch
- Quick Withdrawal
Disadvantages of Having a Fixed Deposit Account:
- Funds are Locked
- Penalties on withdrawal before the maturity period
- Relatively low ROI
- Fixed Interest Rate
Different banks in India offer interest rates on FD (Fixed Deposit) and going on each of the bank’s website to check their interest rate can be very tedious. This is why in this post, we have compared all the major banks which are offering the best Interest rate on FD in India.
Highest Interest rate on FD — July 2020
Last Updated on July 1, 2020
Highest Interest rate on FD by Tenure Period
| Tenure Period | 1 | 2 | 3 | 4 | 5 |
|---|---|---|---|---|---|
| 1 Year | IDFC First Bank (7.25) | RBL Bank (7.20%) | Indusind Bank (7.00%) | Ujjivan Small Finance Bank (6.95%) | DCB Bank (6.75%) |
| 2 Years | IDFC First Bank (7.25) | RBL Bank (7.25%) | DCB Bank (7.20%) | Indusind Bank (7.00%) | AU Small Finance Bank (7.00%) |
| 3 Years | RBL Bank (7.50%) | DCB Bank (7.35%) | IDFC First Bank (7.25%) | AU Small Finance Bank (7.25%) | Indusind Bank (6.75%) |
| 5 Years | DCB Bank (7.35%) | IDFC First Bank (7.25%) | RBL Bank (7.15%) | AU Small Finance Bank (7.00%) | Indusind Bank (6.75%) |
Highest Interest rate on FD by Top Banks of India (Regular Citizens)
| Bank | 1 Year | 3 Year | 5 Year |
|---|---|---|---|
| IndusInd Bank | 7.00% | 6.75% | 6.75% |
| DCB Bank | 6.75% | 7.35% | 7.35% |
| Kotak Mahindra Bank | 5.25% | 4.90% | 4.75% |
| Yes Bank | 7.00% | 7.00% | 7.00% |
| ICICI Bank | 5.55% | 5.75% | 5.75% |
| HDFC Bank | 5.25% | 5.35% | 5.50% |
| SBI | 5.10% | 5.30% | 5.40% |
| RBL Bank | 7.20% | 7.50% | 7.15% |
| Axis Bank | 5.80% | 5.75% | 5.75% |
| DBS | 5.15% | 5.35% | 5.50% |
| IDFC First Bank | 7.25% | 7.25% | 7.25% |
| Bandhan Bank | 6.25% | 6.10% | 6.00% |
| Canara Bank | 5.50% | 5.45% | 5.45% |
| Federal Bank | 6.00% | 6.25% | 6.25% |
| Oriental Bank of Commerce | 5.50% | 5.50% | 5.40% |
| Bank of Baroda | 5.70% | 5.70% | 5.70% |
Highest Interest rate on FD by Retail Banks in India
| Bank | IR for Regular Individuals | IR for Senior Citizens | Deposit Tenure |
|---|---|---|---|
| DCB Bank | 7.35% | 7.85% | 36 Months to 120 Months |
| IDFC First Bank | 7.25% | 8.00% | 1 Year to 10 Years |
| Yes Bank | 7.25% | 7.75% | 1 Year to less than 10 Years |
| RBL Bank | 7.50% | 8.00% | 36 months to 36 months 1 day |
| IndusInd Bank | 7.00% | 7.50% | 1 Year to below 3 Years |
Highest Interest rate on FD by Small Finance Banks in India
| Bank | IR for Regular Individuals | IR for Senior Citizens | Deposit Tenure |
|---|---|---|---|
| Fincare Small Finance Bank | 7.60% | 8.10% | 36 Months 1 Day to 42 Months |
| Suryodaya Small Finance Bank | 9.00% | 9.25% | 5 Years |
| Jana Small Finance Bank | 8.00% | 8.50% | 2 to 3 Years |
| Utkarsh Small Finance Bank | 9.00% | 9.50% | 777 Days |
| Equitas Small Finance Bank | 7.35% | 7.90% | 888 Days |
| Ujjivan Small Finance Bank | 6.95% | 7.45% | 1 Year to 2 Years |
Calculate returns on your FD using this FD Calculator.
Disclaimer: The data/information provided above is subject to change from time to time therefore before taking any decision based on it, please contact the respective bank/institution concerned.
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