Fixed deposits (FDs) are a trusted way to grow your savings with low risk and assured returns. While most people think of big public or private banks for FDs, Small Finance Banks (SFBs) are now gaining attention for offering higher interest rates. These banks are banked by the RBI and focus on reaching underserved communities which makes them both secure and rewarding for investors.

If you’re looking to earn more from your fixed deposits, some Small Finance Banks (SFBs) are offering the highest interest rates right now. Here’s a look at the top rates on two-year FDs (up to Rs 1 crore) for regular, non-senior citizen investors. We’ll also show how a Rs 1 lakh investment can grow over this period. The data has been compiled by BankBazaar, as of July 25.

While higher FD rates from SFBs are tempting, it’s wise to stay within the Rs 5 lakh DICGC insurance limit per bank. Always check if the bank is RBI-registered, understand withdrawal rules, and consider tax on interest. Spreading deposits across banks can help balance safety and returns.

Suryoday Small Finance Bank

– Offers highest rate among SFBs: 8.15 per cent

– Rs 1 lakh grows to Rs 1.16 lakh in 2 years

Jana Small Finance Bank

– Interest rate: 7.75 per cent

– Rs 1 lakh becomes Rs 1.16 lakh

Utkarsh Small Finance Bank

– Interest rate: 7.65 per cent

– Rs 1 lakh becomes Rs 1.15 lakh

Equitas Small Finance Bank

– Interest rate: 7.60 per cent

– Rs 1 lakh becomes Rs 1.15 lakh

ESAF Small Finance Bank

– Interest rate: 7.60 per cent

– Rs 1 lakh becomes Rs 1.15 lakh

Ujjivan Small Finance Bank

– Interest rate: 7.60 per cent

– Rs 1 lakh becomes Rs 1.15 lakh

AU Small Finance Bank

Interest rate: 7.10 per cent

Rs 1 lakh becomes Rs 1.14 lakh