Most lenders, including public sector banks, have revised their fixed deposit interest rates aligning with Reserve Bank’s repo rate hikes over the past few months. To attract new customers, banks have also come up with FD plans with new tenures and special deposits with short terms of validity.
Lenders are particularly looking to attract senior citizens (those above the age of 60) with good rates and some banks offer even higher rates for super senior citizens (above the age of 70 or 80).
Look at the names of some banks that are offering above 7% returns on FDs to senior citizens.
Unity Bank
For FDs with a one-year maturity date, Unity Bank seniors can receive an interest rate of 8.30 percent. The interest rate for FDs with maturities of between one year and a day and 18 months is 7.85 percent. For deposits maturing between 18 months and two years, it offers an interest rate of 7.90 percent. For FDs maturing between more than two years and five years, senior citizens might receive an interest rate of 8.15 percent.
RBL Bank
In RBL Bank FD plans, senior citizens will receive 7.50 percent for the same period. A senior citizen will be paid 7 percent annually for tenure of 53 to 459 days (15 months). The revised FD interest rates are effective from November 1, 2022. The private sector bank is offering the highest interest rate of 7.75 percent per annum on an FD tenure of 725 days.
ESAF Small Finance Bank
The bank is now offering interest rates in the range of 4.50 percent to 8.50 percent for senior citizens on FD tenures from 7 days to 10-years. The bank will now pay an interest rate of 7.75 percent on fixed deposits maturing in 2 years, 998 days, and an interest rate of 8.50 percent on deposits maturing in 999 days. Deposits that mature in 1000 days to less than 3 years will now earn 7.75 percent interest.
IDBI Bank
For FDs with a 700-day term under this plan, the bank gives senior citizens an interest rate of 7.5 percent. Additionally, the institution raised the interest rate for senior citizens on fixed deposits that mature in 555 days to 7 percent. The revised FD interest rates are effective from November 1, 2022.
Ujjivan Small Finance Bank
While Ujjivan SFB for fixed deposits and Sampoorna Nidhi will now provide deposits with maturities between 561 and 989 days at an interest rate of 8.25 percent. Deposits with a 990-day maturity period now yield 8.5 percent interest, while those with a 991-day to 60-month maturity period now earn 7.95 percent interest.
Bandhan Bank
Customers will get an interest rate of as high as 8 percent on deposits for a tenure of 600 days . On terms of 1 year to 599 days and 601 days to less than 5 years, the bank is offering 7.75 percent interest.
