Curated By: Business Desk
Last Updated: August 24, 2023, 12:45 IST
FD is considered an effective way to save money.
An FD account is easy to open, offers good returns, and is a safe investment option.
Fixed deposit (FD) accounts are a good way to maximise your savings. With an FD account, you can put a lump sum amount for a fixed period (tenure) at a chosen interest rate. After maturity, you will receive the amount you have invested with compound interest. In India, it is considered one of the best ways to save money. An FD account is easy to open, offers good returns, and is a safe investment option. Banks usually give 50 (basic) points more to senior citizens on FD accounts. Some banks provide more than 9% interest to senior citizens. SBI, ICICI Bank, and HDFC Bank provide higher interest rates. There are some small-scale banks that also provide higher interest rates to senior citizens. Let’s take a look at them.
Equitas Small Finance Bank: The bank has revised its interest rates on FD and can go up to 9% for senior citizens. The revised interest rates will only be applicable to FDs below Rs 2 crore. For FDs that are maturing between 445 days and 18 months, the bank will provide an interest rate of 8.2%. FDs maturing in 444 days will receive 8.5% interest rates. These rates are effective from August 21, 2023.
ESAF Small Finance Bank: The bank is providing almost 4.50% to 9% to senior citizens for FDs ranging from 2 to 3 years. The rates have been effective as of April 14, 2023.
Fincare Small Finance Bank: The interest rate ranges from 3.60 to 9.11% for senior citizens on tenures up to 84 months. If you deposit for at least 5 years, the bank will provide an interest rate of 8.60%. If the deposit matures in 750 days, the bank will provide a 9.11% interest rate, and the rates have been effective from July 26, 2023.
Jana Small Finance Bank: The bank is offering around a 9% interest rate for FDs maturing in 1095 days, and the rates are effective from August 15.
North East Small Finance Bank: The bank also provides an additional 0.50% interest rate for senior citizens, and the interest rate ranges up to 8.50% for a tenure of 10 years. It is providing 9% for FDs maturing in 555 days, and the rates are already effective from June 6, 2023.
Suryoday Small Finance Bank: The new rates have been effective as of August 7, 2023. For senior citizens, the rate ranges from 4.50% to 9.10% for deposits less than Rs 2 crore, with maturities ranging from 7 days to 10 years.
Unity Small Finance Bank: The bank is providing up to 9.50% interest rates based on certain tenures. Senior citizens will be getting up to 9.25% on FDs ranging from 6 months to 201 days and 9.5% on FDs for 1001 days.
