Fixed Deposit Interest Rates 2022

Fixed deposit is 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 August 2022.

Updated on - 08 Aug 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 2.75% to 5.75% 3.25% to 6.50%
IDBI Bank FD 2.70% to 5.75% 3.20% to 6.50%
Kotak Mahindra Bank FD 2.50% to 5.90% 3.00% to 6.40%
RBL Bank FD 3.25% to 6.65% 3.75% to 7.15%
Punjab National Bank FD 3.00% to 5.60% 3.50% to 6.10%
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 First Bank FD 3.50% to 6.50% 4.00% to 7.00%
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 First 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 and HDFC 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 IDBI Bank 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 August 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 6.50% 3.75% to 7.25%
IndusInd Bank FD 2.75% to 6.50% 3.25% to 7.00%
UCO Bank FD 2.55% to 5.30% 2.80% to 6.10%
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 5.60% 3.30% to 6.10%
Central Bank of India FD 2.75% to 5.50% Contact the bank for details
Indian Bank FD 2.80% to 5.60% 3.30% to 6.10%
Indian Overseas Bank FD 3.40% to 5.45% 3.00% to 5.45%
Bandhan Bank FD 3.00% to 5.60% 3.75% to 6.35%
DBS Bank FD 2.50% to 6.25% 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 5.50% 2.75% to 6.00%
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 7.00% 3.00% to 7.50%

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 a 0.50% additional interest rate.

These are the interest rates as of August 2022.

Name of the Tax Saving FD For General Citizens (p.a.) For Senior Citizens (p.a.)
SBI Bank Tax Saving FD 5.50% 6.30%
IndusInd Bank Tax Saver Scheme 6.50% 7.00%
RBL Bank Tax Saving FD 6.30% 6.80%
HDFC Bank Tax Saving FD 5.70% 6.20%
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 First Bank Tax Saving FD 6.50% 7.00%
Union Bank of India Tax Saving FD 5.40% Contact the bank for more details
PNB Tax Saving FD 5.50% 6.00%
Punjab and Sind Bank Tax Saving FD 5.40% 6.40%
IDBI Bank Tax Saving FD 5.75% 6.50%

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 August 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 August 2022.

Name of Bank Tenure For General Citizens (p.a.) For Senior Citizens (p.a.)
LIC Housing Finance FD 12 months to 60 months 5.60% to 6.60% (up to deposit of Rs.20 crore for cumulative) 5.85% to 6.85% (up to deposit of Rs.20 crore for cumulative)
PNB Housing Finance FD 12 months to 120 months 5.75% to 7.00% 6.00% to 7.25%
Shriram City Union Finance FD 12 months to 60 months Up to 7.80% Up to 8.30%

Highest 1 Year FD Interest Rates

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

Name of Bank For General Citizens (p.a.) For Senior Citizens (p.a.)
IDFC First Bank 6.25% 6.75%
Bank of India 5.00% 5.25%
IDBI Bank 5.35% 5.85%
Punjab National Bank 5.30% 5.80%
Canara Bank 5.30% 5.80%
State Bank of India 5.30% 5.80%
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 August 2022:

Name of Bank For General Citizens (p.a.) For Senior Citizens (p.a.)
IDFC First Bank 6.25% 6.75%
IDBI Bank 5.40% 6.15%
Union Bank of India 5.10% 5.60%
Canara Bank 5.35% 5.85%

Highest 3 Year FD Interest Rates

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

Name of Bank For General Citizens (p.a.) For Senior Citizens (p.a.)
IDFC First Bank 6.50% 7.00%
Axis Bank 5.70% 6.35%
IDBI Bank 5.60% 6.35%
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 August 2022:

Name of Bank For General Citizens (p.a.) For Senior Citizens (p.a.)
IDFC First Bank 6.50% 7.00%
Union Bank of India 5.40% 5.90%
IDBI Bank 5.75% 6.50%
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 August 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 4.65% to 5.75% 4.90% 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 to 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 an 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 an 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 the 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 an 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 or too long.

Read News About Fixed Deposit Rates

  • Fixed deposit interest rates increased by DBS Bank

    For investments less than Rs.2 crore, DBS Bank has hiked the Fixed Deposits (FD) interest rates. According to the bank, the new FD rates came into effect on 28 July 2022. Senior citizens can earn an interest rate ranging between 3.00% p.a. and 6.75% p.a., while the general public can earn an interest rate ranging from 2.5% p.a. to 6.25% p.a.

    01 August 2022

  • Fixed deposit interest rates revised by Bank of Baroda

    Bank of Baroda has increased the Fixed Deposit (FD) interest rates for investments below Rs.2 crore. The new rates came into effect on 28 July 2022. As per the new rates, the FD interest rates for senior citizens will range from 3.50% p.a. to 6.50% p.a., while the new rates for the general public will be between 3.00% p.a. and 5.50% p.a. Apart from Bank of Baroda, State Bank of India, Punjab National Bank, and Kotak Mahindra bank have increased the FD interest rates as well.

    30 July 2022

  • Interest rates on Karnataka Bank fixed deposits have been revised

    Karnataka Bank has updated the interest rates on its fixed deposits with effect from 29 July 2022. Fixed deposits maturing in 7 days to 45 days will now receive an interest rate of 3.40%. The bank will now offer 4.90% interest on tenures of 46 days to 90 days. For fixed deposits with maturity periods of 91 days to 364 days, 5% interest will be paid.

    The interest rate on fixed deposits maturing in 1 year to 2 years is 5.50%. Fixed deposits with a maturity period of 2 years to 5 years will be paid an interest of 5.65%. The bank provides 5.70% interest on fixed deposits maturing in 5 years to 10 years.

    29 July 2022

  • IDFC First Bank has revised fixed deposit interest rates

    IDFC First Bank has revised the interest rates on its fixed deposits of less than Rs.2 crore with effect from 18 July 2022. The interest rates on tenures of 7 days to 10 years range from 3.50% to 6.00% for the general public and 4.00% to 6.50% for senior citizens. The interest rate offered for fixed deposits with maturity periods of 7 days to 29 days is 3.50%. Fixed deposits maturing in 30 days to 90 days will receive an interest of 4.00%.

    On fixed deposits maturing in 181 days to 1 year, the bank will now offer a 5.75% interest. A new tenure of 500 days to 2 years has been introduced, for which 6.50% interest will be paid. The interest rates on fixed deposits with maturity periods of more than 2 years to 3 years have been increased from 6.25% to 6.50%.

    28 July 2022

  • Kotak Mahindra Bank increases FD interest rates

    Kotak Mahindra Bank, a private sector lender has increased the interest rates on Fixed Deposits (FD) below Rs.2 crore. The revised rate will be effective from 26 July 2022. The bank has hiked the FD interest rates on the deposits maturing in 365 days to 389 days. The bank will provide 2.50% interest on deposits maturing in 7 to 30 days, whereas 3% interest rate on term deposits maturing in 31 days to 90 days. The interest rate on deposits maturing in 365 days will remain 5.25%, and the interest rate on terms deposits that maturing 365 days to 389 days has increased from 5.50% to 5.60%.

    25 July 2022

  • South Indian Bank has revised its fixed deposit interest rates

    The interest rates on fixed deposits below Rs.2 crore have been revised by South Indian Bank with effect from 20 July 2022. An interest rate of 2.65% will be offered on fixed deposits with tenures of 7 days to 30 days. Fixed deposits maturing in 91 days to 181 days will receive a 4.25% interest. The interest rate offered on fixed deposits with maturity periods of 181 days to less than 1 year is 4.60%.

    For fixed deposits maturing in 1 year to less than 3 years, 5.60% interest will be paid. The interest rate offered on fixed deposits with tenures of 3 years to less than 5 years is 5.75%. Fixed deposits maturing in 5 years to 10 years will receive an interest rate of 5.85%.

    20 July 2022

  • Fixed deposit interest rates hiked by IDBI

    The private sector lender, IDBI Bank has increased the interest rates for Fixed Deposit below Rs.2 crore. The new interest rates for fixed deposits will be applicable from 14 July 2022 onwards. For fixed deposits booked for 46 to 60 days, the Bank will pay an interest rate of 3.25%, and for term deposits that mature in 61 to 90 days, it will pay a 3.40 per cent interest rate. Moreover, the Bank will pay an interest of 5.75% to the general public and 6.50% to senior citizens on tax-saving fixed deposits having tenure of five years.

    19 July 2022

  • Axis Bank increases FD interest rates

    Axis Bank has hiked its fixed deposit (FD) interest rates for select account holders who open such accounts. The new FD interest rates will come into effect from 16 July and are applicable on deposits below Rs.2 crore.

    18 July 2022

  • Canara Bank revises its FD interest rates

    Canara Bank has increased its interest rates on fixed deposits (FD) below Rs.2 crore. As per the bank’s website, the new FD rates will be effective as of 16 July. The bank is now providing interest rate of 2.90% on deposits maturing in the seven to 45 days and an interest rate of 4% on deposits maturing in the 46 days. On the other hand, deposits maturing in333 days will earn 5.10% interest rate.

    16 July 2022

  • ICICI Home Finance revises FD interest rates

    ICICI Home Finance has revised its fixed deposit interest rates which will be effective from July 13, 2022. Senior citizens are offered an interest rate that is higher by 0.25%. The interest rates under the cumulative plan range from 5.25% to 6.95%. The interest rates under the non-cumulative plan range from 5.10% to 6.75% for the monthly income plan, while under the quarterly plan it ranges from 5.15% to 6.80% and under the annual income plan it ranges from 5.25% to 6.95%. For the special fixed deposit scheme for public depositors, the cumulative plan's interest rates range from 6.85% to 7.00%. The monthly interest rates under the non-cumulative plan ranges from 6.65% to 6.80%, 6.70% to 6.85% for the quarterly income plan, and for the annual income plan it ranges from 6.85% to 7.00%.

    15 July 2022

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