Fixed Deposit Interest Rates 2022

Fixed deposit are a safe investment option that guarantees consistent interest rates, special interest rates for senior citizens, various interest payment options, and no market-related risks, with income tax deductions. It is important to compare the latest fixed deposit rates among leading banks in the country before opening a new fixed deposit or renewing an existing one. Here are the latest fixed deposit rates for the year 2022.

Fixed Deposit Interest Rates of Top 10 Banks in India for below Rs.2 crore

Given below are the latest interest rates offered by top banks for tenures ranging from 7 days to 10 years as of May 2022.

Updated on - 25 May 2022

Name of Bank For General Citizens (p.a.) For Senior Citizens (p.a)
State Bank of India FD 2.90% to 5.50% 3.40% to 6.30%
HDFC Bank FD 2.50% to 5.60% 3.00% to 6.35%
IDBI Bank FD 2.70% to 5.60% 3.20% to 6.35%
Punjab National Bank FD 3.00% to 5.25% 3.50% to 5.75%
Canara Bank FD 2.90% to 5.75% 2.90% to 6.25%
Axis Bank FD 2.50% to 5.75% 2.50% to 6.50%
Bank of Baroda FD 2.80% to 5.35% 3.30% to 6.35%
IDFC Bank FD 2.50% to 6.25% 3.00% to 6.75%
Bank of India FD 2.85% to 5.20% 3.35% to 5.95%
Punjab and Sind Bank FD 3.00% to 5.40% 3.50% to 5.90%

Best FD Rates in India among Top 10 Banks

  • IDFC Bank offers the highest FD interest rate of 6.25% p.a. which is for a tenure of 5 years and above for the general public. For senior citizens, the interest rate is up to 6.75%.
  • The second highest interest rate is 5.75% p.a. which is offered by Axis Bank for a tenure of 5 years and above.
  • The third highest interest rate being offered is 5.60% p.a. which is offered by HDFC for a tenure of 5 years and above.

FD Rates Offered by Other Popular Banks in India for below Rs.2 crore

The fixed deposit interest rates offered by other banks in India are given below for deposits below Rs.2 crore, as of May 2022. These are for tenures ranging from 7 days to 10 years.

Name of Bank For General Citizens (p.a.) For Senior Citizens (p.a)
Yes Bank FD 3.25% to 6.25% 3.75% to 7.00%
IndusInd Bank FD 2.75% to 6.50% 3.25% to 7.00%
UCO Bank FD 2.55% to 6.02% 2.80% to 6.67%
United Bank of India FD (now Punjab National Bank) 3.00% to 5.25% 3.50% to 5.75%
Allahabad Bank FD (now Indian Bank) 2.80% to 5.25% 3.05% to 5.50%
Central Bank of India FD 2.75% to 5.50% 2.90% to 3.55%
Indian Bank FD 2.80% to 5.25% 3.05% to 5.50%
Indian Overseas Bank FD 3.40% to 5.45% 4.15% to 6.20%
Bandhan Bank FD 3.00% to 6.25% 3.75% to 7.00%
DBS Bank FD 2.50% to 5.75% Contact the bank for details
Andhra Bank FD (now Union Bank) 3.00% to 5.50% Contact the bank for details
HSBC Bank FD 2.25% to 4.00% 2.75% to 4.50%
Syndicate Bank FD (now Canara Bank) 2.90% to 5.75% 2.90% to 6.25%
Duetsche Bank FD 2.30% to 7.00% 2.30% to 7.00%
SBM Bank FD 2.50% to 6.00% 3.00% to 6.50%

Best FD Rates in India among Popular Banks

  • The highest FD rate among the popular banks in India is 7.00% p.a. which is given by Deutsche Bank for tenures ranging from 3 years to 7 years for the general public.
  • For senior citizens, the highest FD rate among popular banks in India is 7.00% given by Deutsche Bank for tenure ranging from 3 years and 7 years.

Top 10 Tax Saver FD Interest Rates

Tax-saver FDs offer a maximum deduction of Rs.1.5 lakh under Section 80C of the Income Tax Act with the maximum deposit permissible being Rs.1.5 lakh. The lock-in period is 5 years. Senior citizens are offered 0.50% additional interest rate.

These are the interest rates as of May 2022.

Name of the Tax Saving FD For General Citizens (p.a.) For Senior Citizens (p.a.)
SBI Bank Tax Saving FD 5.30% 5.80%
IndusInd Bank Tax Saver Scheme 6.50% 7.00%
HDFC Bank Tax Saving FD 5.45% 5.95%
Canara Bank Tax Saving FD 5.75% 6.25%
Axis Bank Tax Saving FD 5.75% 6.50%
Bank of Baroda Tax Saving FD 5.35% 6.00%
IDFC Bank Tax Saving FD 6.25% 6.75%
Union Bank of India Tax Saving FD 5.40% 5.90%
PNB Tax Saving FD 5.25% 5.75%
Punjab and Sind Bank Tax Saving FD 5.40% 6.40%
IDBI Bank Tax Saving FD 5.60% 6.35%

Best Tax Saver FD Interest Rates

  • The highest interest rate on Tax Saver FDs for the general public is being offered by IndusInd Bank at 6.50% p.a.
  • Axis Bank and Canara Bank offer the second-highest interest rates for the general public at 5.75% p.a.
  • For senior citizens, the highest interest rate is 7.00% p.a. offered by IndusInd Bank and 6.50% offered by Axis Bank.

Highest Small Finance Bank FD Interest Rates for Below Rs.2 crore

Small Finance Banks also provide high interest rates on FDs. Here are the highest interest rates for deposits below Rs.2 crore for tenures ranging from 7 days to 10 years effective from May 2022.

Name of Bank For General Citizens (p.a.) For Senior Citizens (p.a.)
Jana Small Finance Bank FD 2.50% to 7.00% 3.30% to 7.80%
Utkarsh Small Finance Bank FD 3.00% to 7.25% 3.50% to 7.75%
Equitas Small Finance Bank FD 3.50% to 6.75% 4.00% to 7.25%

Top NBFCs FD Interest Rates (Non-Banking Financial Companies)

NBFCs also offer competitive interest rates on their fixed deposit accounts. Here are the highest interest rates for tenures ranging from 1 year to 5 years for deposits less than Rs.2 crore effective from May 2022.

Name of Bank Tenure For General Citizens (p.a.) For Senior Citizens (p.a.)
LIC Housing Finance FD 12 months to 60 months 5.15% to 6.00% 5.40% to 6.25%
PNB Housing Finance FD 12 months to 120 months 5.75% to 6.85% 6.00% to 7.10%
Shriram City Union Finance FD 12 months to 60 months Up to 7.75% Up to 8.05%

Highest 1 Year FD Interest Rates

These are the highest 1-year FD rates offered by banks effective from May 2022:

Name of Bank For General Citizens (p.a.) For Senior Citizens (p.a.)
IDFC First Bank 5.75% 6.25%
Bank of India 5.00% 5.25%
IDBI Bank 5.15% 5.65%
Punjab National Bank 5.10% 5.60%
Canara Bank 5.30% 5.80%
State Bank of India 5.10% 5.60%
Punjab and Sind Bank 5.15% 5.65%

Highest 2 Year FD Interest Rates

These are the highest 2-year FD rates offered by banks effective from May 2022:

Name of Bank For General Citizens (p.a.) For Senior Citizens (p.a.)
IDFC First Bank 5.75% 6.25%
IDBI Bank 5.25% 6.00%
Union Bank of India 5.10% 5.60%
Canara Bank 5.45% 5.95%

Highest 3 Year FD Interest Rates

These are the highest 3-year FD rates offered by banks effective from May 2022:

Name of Bank For General Citizens (p.a.) For Senior Citizens (p.a.)
IDFC First Bank 6.00% 6.50%
Axis Bank 5.40% 5.90%
IDBI Bank 5.50% 6.25%
State Bank of India 5.45% 5.95%
Punjab and Sind Bank 5.40% 5.90%

Best 5 Year FD Interest Rates

These are the highest 5-year FD rates offered by banks effective from May 2022:

Name of Bank For General Citizens (p.a.) For Senior Citizens (p.a.)
IDFC First Bank 6.25% 6.75%
Union Bank of India 5.40% 5.90%
IDBI Bank 5.60% 5.35%
Canara Bank 5.75% 6.25%
Axis Bank 5.75% 6.50%
State Bank of India 5.50% 6.30%

Flexi Fixed Deposit/Auto-Sweep Facility

Flexi Fixed Deposits offer the combined benefits of a fixed deposit (with its assured and safe returns) with the easy liquidity of savings and current accounts. These are the interest rates offered by banks in the Flexi Fixed Deposit in India effective from May 2022:

Name of Bank Tenure For General Citizens (p.a.) For Senior Citizens (p.a.)
State Bank of India 5 years to 7 years 5.50% 6.30%
Axis Bank 6 months to 5 years 4.40% to 5.40% 4.60% to 6.50%

Senior Citizen Fixed Deposits

Fixed deposits for senior citizens have some features that differentiate them from fixed deposits for the general public, such as:

  • The depositor should be 60 years and above at the time of opening the fixed deposit account
  • Depending on the bank, interest rates are higher by 0.25% to 0.50%
  • The tenure is between 7 days and 10 days
  • Loan against FD can be availed
  • Penalties for premature withdrawal are the same as for the general public

IDBI Bank launches Naman Senior Citizen Deposit

IDBI Bank, a private sector lender, launched a special fixed deposit scheme called "IDBI Naman Senior Citizen Deposit" on Wednesday to compete with special fixed deposit schemes offered by leading banks such as State Bank of India (SBI), HDFC Bank, and ICICI Bank, as well as to provide senior citizens with massive interest rate benefits. This scheme went into effect on 20 April 2022.

Factors that Affect FD Interest Rates

There are many factors that affect FD interest rates, some of which are given below:

  • Deposit Tenure: The lower the tenure, the lower will be the interest rate and the higher or medium range the tenure, the higher the interest rate will be.
  • Deposit Amount: Higher deposit amounts will fetch you higher interest rates, especially bulk deposits exceeding Rs.1 crore.
  • Depositor type: Senior citizens typically get 0.25% to 0.50% additional interest rate on fixed deposits.

Fixed Deposit Interest Rate Calculator

The interest you can earn on your deposited amount depends on multiple factors, including the amount invested, tenure, rate of interest, interest computation frequency, and taxation. You can calculate the returns on your investment by using an FD calculator. The entire process of calculating the amount is easy and hassle-free. All you need to do is enter the deposit term, choose the type of FD (reinvestment, quarterly, or monthly payment), the investment amount, the date of account opening, and the interest rate.

Fixed Deposit Interest and Income Tax

  • The income you earn on your FD is termed as Income from Other Source and it is fully taxable.
  • Banks will not deduct TDS, if your interest income from fixed deposits is less than Rs.40,000 in a year.
  • You need to submit Form 15G and Form 15H with the bank at the beginning of the financial year. Banks will not deduct TDS following the form submission.

CRISIL & ICRA Rating List for Corporate Fixed Deposits

It is beneficial to understand the credit ratings of corporate fixed deposits before you open an account. These ratings are a testament to the consistency, stability, and credibility of the companies that offer these FDs.

The CRISIL credit ratings for FDs fall under the categories as given below:

Rating Standard
FAAA Highest safety
FAA High safety
FA Adequate safety
FB Inadequate safety
FC High risk
FD Default
NM Not Meaningful

The ICRA credit ratings for FDs fall under the categories as given below (these also have positive and negative values)

Rating Standard
MAAA Highest credit quality
MAA High credit quality
MA Adequate credit quality
MB Inadequate credit quality
MC Risk-prone credit quality
MD Lowest credit quality

FAQs on Fixed Deposit Interest Rates

  1. What is the minimum period for a fixed deposit?

    A fixed deposit account can be opened for a minimum period of 7 days.

  2. What is the minimum amount that can be deposited in an FD account?

    The minimum amount varies from bank to bank. It can be as low as Rs.50.

  3. Can I get monthly interest on a fixed deposit?

    Yes, you can get a monthly interest payout on your fixed deposit.

  4. Is FD a good investment?

    Investing in fixed deposits is one of the safest investment options available. The interest offered on FDs by banks makes it a good option.

  5. Can I prematurely withdraw from a Tax Saver Term Deposit?

    No, you can prematurely withdraw a tax saver term deposit as it has a lock-in period of 5 years.

  6. What is the maximum duration for which a FD account can be opened?

    You can open a fixed deposit account for a maximum period of 10 years.

  7. Do all NBFCs offer the option of opening a FD account with them for a period of 10 years?

    No, not all NBFCs offer you open of opening a FD for a period of 10 years.

  8. What is maximum exemption that I can get under tax saver FDs?

    Under tax saver FDs, the maximum exemption you can get is Rs.1.5 lakh.

  9. Under which section of the Income Tax Act is the tax benefit offered on tax saver FDs?

    The tax benefit is offered under Section 80C of the Income Tax Act, 1961.

  10. Do banks charge a penalty for premature withdrawal of FD?

    Yes, banks charge a penalty for premature withdrawal of a FD.

  11. How can I get the maximum returns from my fixed deposit?

    To get the maximum returns on your fixed deposit, compare the fixed deposit rates among different tenures in the same bank and among different banks. Make sure that it is not too short nor too long.

Read News About Fixed Deposit Rates

  • ICICI Bank increases FD interest rate

    ICICI Bank has hiked its fixed deposit rate by 10-20 basis points across tenure. The revision has been done for single deposits of less than Rs.20 million or Rs.2 crore. The new and the hiked interest rate have come into effect from 16 May 2022. The revision of interest rate has been done for its FDs of 290 days to ten-year tenure.

    17 May 2022

  • Federal Bank increases FD interest rate on less than Rs.2 crore deposits

    The Federal Bank has increased its fixed deposit rates across all the tenure. The new hiked interest rates by the Federal Bank will be applicable for seven to 2223 days tenure and will come into effect from 16 May 2022.

    The customers will get 2.65% on FD having a tenure of seven days to 29 days. On the other hand, FD with a tenure of one year to 549 days, the bank offers 5.40% to the customers. The customers will get 5.75% interest of FD with tenure of 5 years to 2221 days.

    16 May 2022

  • Axis Bank increased its FD interest rates

    Axis Bank has hiked its Fixed Deposit (FD) interest rates for select account holders who open such accounts. The new interest rates have come into effect for Axis Bank FD with tenures of more than nine months. The new FD interest rate hike ranges between ten and 35 basis points, based on the tenure, with senior citizens getting returns of 0.50% extra.

    The bank will provide 4.75% interest to FD accounts with tenure ranging from nine months to less than ten months. On the other hand, the customers will get 4.75% interest on FD accounts with tenure ranging between ten months and less than 11 months. 4.75% interest will be given to the FD account holders with tenure ranging from 11 months to 11 months 25 days.

    15 May 2022

  • Interest rates on fixed deposits hiked by SBI

    State Bank of India (SBI) has increased the interest rates on its fixed deposits (FDs) for Rs.2 crore and more. The revised interest rates will be effective from 10 May 2022. The interest rate on fixed deposits maturing in 46 days to 179 days has been increased from 3.00% to 3.5%. FDs with tenures of 180 days to 210 days will receive an interest of 3.5%.

    The interest rate on FDs with a maturity period of 211 days to less than a year has been hiked from 3.3% to 3.75%. For FDs maturing in one year to less than two years, a 4% interest will be paid. The bank will offer an interest of 4.25% on deposits with tenures of two years to less than three years. FDs maturing in three years to 10 years will be paid an interest of 4.5%.

    11 May 2022

  • Fixed deposit interest rates revised by UCO Bank

    UCO Bank increased its Fixed Deposit (FD) interest rates for deposits below Rs.2 crore. As per the details available on the official website of the bank, the new interest rates will come into effect on 10 May 2022. The highest interest rate offered by the bank for the general public is 6.02% for a tenure of 5 years and above.

    11 May 2022

  • Fixed deposit interest rates revised by Punjab National Bank

    Punjab National Bank (PNB) increased its Fixed Deposit (FD) interest rates for deposits below Rs.2 crore. The new interest rates came into effect on 7 May 2022. The highest interest rate offered by the bank for the general public is 5.25% for a tenure that ranges between above 3 years and up to 10 years. Senior citizens are offered an additional interest rate for any investments.

    10 May 2022

  • Punjab & Sind Bank revised FD rates

    Punjab & Sind Bank (PSB) has made an announcement about the revision of its interest rates on domestic term deposits, recurring deposit scheme, Non-Resident Ordinary (NRO) accounts, and PSB fixed deposit tax saver scheme. The new interest rates will be effective from 9 May 2022.

    The bank will provide 3% interest on term deposits less than Rs.2 crore maturing in seven to 45 days. The public will get 3.75% interest of deposits maturing in 46 to 90 days. An interest of 3.90% will be provided to the term deposits maturing in 179 days.

    10 May 2022

  • Nearly five banks have increased FD rates after RBI hiked key policy rate

    After the Reserve Bank of India (RBI) raised the key policy rate on 4 May, nearly five banks have hiked their fixed deposit (FD) rates. Banks such as Kotak Mahindra Bank, Bank of Baroda, Bandhan Bank, ICICI Bank, and Jana Small Finance Bank have increased their FD rates for multiple tenures.

    Kotak Mahindra Bank has increased the interest rates by 30 basis points and 35 basis points for FDs maturing in 390 days and 23 months, respectively. ICICI Bank has hiked the external benchmark lending rate to 8.10%.

    09 May 2022

  • Fixed deposit interest rates increased by Kotak Mahindra Bank

    On 5 May 2022, Kotak Mahindra Bank increased the Fixed Deposit (FD) interest rates across all several tenures. The new interest rates will come into effect from 6 May 2022 and are for deposits less than Rs.2 crore. The FD interest rates will range between 2.50% p.a. and 5.75% p.a. Senior citizens will be offered an additional interest rate of 0.50% across all tenures.

    08 May 2022

  • ICICI Bank fixed deposit interest rates have been hiked

    ICICI Bank has hiked the interest rates on its fixed deposits a day after the repo rate was increased by the Reserved Bank of India by 0.40%. Th revised interest rates will be effective from 5 May. The interest rates have been increased for deposits of more than Rs.2 crore to Rs.5 crore.

    Deposits with tenures ranging from 7 days to 29 days will receive an interest rate of 2.75%. An interest of 3.00% will be paid to deposits maturing in 30 days to 60 days. For deposits with a maturity period of 1 year to less than 15 months, 4.50% will be applicable. For long term deposits with tenures ranging from 3 years to 10 years, an interest rate of 4.80% will be paid.

    07 May 2022

  • RBI has increased repo rate by 40 basis points

    On 4 May, the Reserve Bank of India (RBI) raised the repo rate by 40 basis points to 4.40%, citing inflationary issues. The RBI last cut the repo rate in May 2020, and it has been steady since then. In addition, the RBI increased the Cash Reserve Ratio (CRR) by 50 basis points to 4.5%. The repo rate is the interest rate at which the central bank provides short-term funding to banks.

    06 May 2022

Display of any trademarks, tradenames, logos and other subject matters of intellectual property belong to their respective intellectual property owners. Display of such IP along with the related product information does not imply BankBazaar's partnership with the owner of the Intellectual Property or issuer/manufacturer of such products.

reTH65gcmBgCJ7k
This Page is BLOCKED as it is using Iframes.