- By Aditya Pratap Singh
- Wed, 19 Mar 2025 01:56 PM (IST)
- Source:JND
Highest Fixed Deposit Interest Rate For Senior Citizens: In India, fixed deposits (FDs) have long been considered one of the most reliable investment options, especially by senior citizens. FDs offer retirement financial security through guaranteed returns, capital protection and consistent income.
Since FDs offer stability unlike market-linked investments, they remain a popular investment option for senior citizens who value safety over high-risk returns. FDs are a preferred source of post-retirement income for senior citizens as they offer higher interest rates than other investment options.
Fixed Deposit For Senior Citizens
For FDs with tenures ranging from seven days to ten years, banks and non-banking financial companies (NBFCs) currently offer annual interest rates between 2.50% and 9.10%. Most banks offer senior citizens 0.50% higher interest rates than standard FD rates. The attractiveness of FDs as a reliable source of post-retirement income is further enhanced by the fact that many NBFCs and small finance banks offer interest rates as high as 9% while leading private banks offer rates as low as just 7%.
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Public Sector Banks FD Interest Rate For Senior Citizen
Bank of Baroda Senior Citizen FD rates – 7.80%
Bank of India Senior Citizen FD rates – 7.80%
Senior Citizen FD rates Canara Bank – 7.75%
Senior Citizen FD rates Central Bank of India – 7.95%
Senior Citizen FD rates SBI – 7.75%
Senior Citizen FD rates Union Bank of India – 7.90%
Private Sector Banks Interest Rate For Senior Citizen
Axis Bank – 7.75%
Bandhan Bank – 8.55%
DBS Bank – 8.00%
HDFC Bank – 7.90%
ICICI Bank – 7.75%
IDFC First Bank – 8.40%
Yes Bank – 8.25%
Small Finance Banks' Interest Rate For Senior Citizen FD
AU Small Finance Bank – 8.50%
Jana Small Finance Bank – 8.75%
North East Small Finance Bank – 9.00%
Unity Small Finance Bank – 9.10%
Utkarsh Small Finance Bank – 9.10%
Special Benefits For Senior Citizens
There are many benefits for senior citizens investing in FDs. Depending on their needs, they can choose flexible interest payouts, such as monthly, quarterly, half-yearly or yearly. The ability for senior citizens to make partial or full withdrawals before maturity is another way FDs provide liquidity. They have the option to renew the FD on maturity to earn money. Additionally, the Deposit Insurance and Credit Guarantee Corporation (DICGC) insures deposits up to Rs 5 lakh, providing additional financial security.
For senior citizens looking for financial stability and a steady source of income in their golden years, fixed deposits are one of the best investment options due to their guaranteed returns, high interest rates and unique benefits.
