Top Bank FDs in India 2026
Top bank FDs in India let you lock in fixed, predetermined returns across tenures of seven days to ten years, with features such as nomination, joint holding and loan-against-FD facilities. This page compares current fixed deposit interest rates from Yes Bank, HDFC Bank, Axis Bank, Canara Bank, Punjab National Bank and other leading lenders.
Features of Bank FD
Here are the features of fixed deposits:
✅ Safe and secure investment option. Guaranteed returns with a predetermined interest rate.
✅ Flexible investment tenures to suit financial goals. Investment tenures ranging from 7 days to 10 years.
✅ Interest is compounded, leading to faster growth of funds. Compounded returns on the invested amount (quarterly, annually, or monthly).
✅ Premature and partial withdrawals allowed with penalties. Limited liquidity with restrictions on early withdrawals.
✅ Option to reinvest the maturity amount.
✅ Interest rates are influenced by market conditions and policies.
✅ Inflation risk may affect real returns.
✅ Fixed returns, potentially lower than other investment avenues.
✅ Senior citizens receive 0.5% higher returns compared to regular investors.
Top Bank Fixed Deposit Schemes in 2026
Bank | 1 year (p.a.) | 3 years (p.a.) | 5 years (p.a.) |
Yes Bank | 6.65% | 7.00% | 6.75% |
KVB Bank FD | 6.55% | 6.55% | 6.25% |
Punjab and Sind Bank | 5.85% | 5.85% | 5.85% |
Axis Bank | 6.25% | 6.50% | 6.50% |
HDFC Bank | 6.25% | 6.45% | 6.40% |
Canara Bank | 6.25% | 6.25% | 6.25% |
Punjab National Bank | 6.25% | 6.30% | 6.35% |
*Interest rates are subject to change and may be revised from time to time
*Higher interest rates will be offered to senior citizens
Note: Interest rates updated on 13 August 2026.
Yes Bank FD Rates
- Yes Bank offers competitive interest rates on all deposit schemes
- For a tenure of 1 year, the interest rate is 6.65% p.a.
- Deposits maturing between 1 year to 3 years earn interest of between 6.65% and 7.25% p.a., depending on the exact tenure.
- For investing money in a FD account having a tenure of five years,, interest of 6.75% p.a. is offered by the bank.
- Senior citizens receive an extra interest rate of 0.50% for tenures below 3 years and 0.75% for tenures of 3 years and above on fixed deposits valued below Rs.5 crore, in addition to the regular FD rates
Karur Vysya Bank FD rates
- For a tenure of 1 year, the interest rate is 6.55% p.a.
- Deposits maturing in 3 years earn interest of 6.55% p.a.
- For investing money in an FD account having a tenure of five years, interest of 6.25% p.a. is offered by the bank.
- Senior citizens are offered additional interest of up to 0.50% on FD tenures.
Punjab and Sind Bank Rates
- For deposits held for 1 year, the rate paid is 5.85% p.a.
- For an investment period that extends to 3 years, the annual rate of return is 5.85% p.a.
- A bank deposit rate of 5.85% p.a. is paid if the deposit is held for a period of five years
- Senior citizens will enjoy an additional interest benefit of 0.50% on term deposits below Rs.2 crore.
- Super senior citizens, aged 80 years and above, will receive an extra interest benefit of 0.15% on specific period term deposits (400 Days, 555 Days, and 601 Days) valued below Rs.2 crore.
Axis Bank FD Rates
- An interest rate of 6.25% p.a. will be paid for any FD that is held for a period of 1 year
- The highest rate of interest paid by Axis Bank is 6.50% p.a., offered for investment periods of 3 years and 5 years
- All senior citizens will get an additional interest percentage
HDFC Bank FD rates
- The best deposit rate paid by HDFC Bank is 6.25% p.a for a tenure of 1 year.
- For a tenure range of 3 years, the rate of return paid is 6.45% p.a.
- For those who make an investment of 5 years, the rate of return will be 6.40% p.a.
- The bank offers a wide range of tenure options
- Senior citizens get an additional 0.50% interest rate across various tenures.
Canara Bank FD Rates
Let us take a detailed look at some of the best banks and their FD interest rates.
- For all term deposits of less than Rs.3 crore, the rate of interest offered by Canara Bank ranges from 3.00% to 6.25% p.a.
- For a time period of 3 years, the rate offered is 6.25% p.a.
- The highest rate of interest is paid for 1, 3 and 5 year tenures alike, where the rate of return is 6.25%.
- For deposits (excluding NRO/NRE and CGA deposits) valued below Rs.3 crore and with a tenure of 180 days and above, senior citizens are eligible for an additional interest rate of 0.50%.
Punjab National Bank FD Rates
- The best deposit rate paid by Punjab National Bank is 6.25% p.a. for a tenure of 1 year.
- For a tenure of 3 years, the rate of return paid is 6.30% p.a.
- For those who make an investment for 5 years, the rate of return will be 6.35% p.a.
- Senior citizens are eligible for an additional 0.50% interest rate across different tenures.
- Super senior citizens (aged 80 years and above) are eligible for an additional 0.80% interest rate across various tenures.
Summary
Top banks in India such as Yes Bank, HDFC Bank, Axis Bank, Canara Bank and Punjab National Bank offer fixed deposit schemes with tenures from 7 days to 10 years, along with nomination, joint holding and loan-against-FD facilities. FD interest rates vary by bank, tenure and deposit amount, and senior citizens typically earn a higher rate than regular depositors. Compare the current rates in the table above before choosing a top bank FD that matches your investment horizon.
FAQs on Top Bank FDs in India
1.What is a reinvestment or cumulative FD with a top bank in India?
A reinvestment or cumulative fixed deposit compounds the interest earned and adds it back to the principal instead of paying it out. Most top bank FDs in India offer this option for tenures ranging from six months to ten years, so your returns grow faster over time.
2.What is the minimum deposit needed to open an FD with a top bank in India?
Most top banks in India let you open a fixed deposit with as little as Rs.1,000, though the exact minimum varies by bank. Check the specific bank's FD scheme for its minimum deposit requirement before applying.
3.How do I find out which top bank offers the best FD rate in India?
The FD interest rate that ranks highest among top banks in India changes periodically as each bank revises its rates. Compare the current rates in the table above, since the best-paying bank and tenure combination can shift over time.
4.What FD tenures does Punjab National Bank offer among the top bank FDs in India?
Punjab National Bank offers a range of fixed deposit tenures, with the interest rate varying by how long you invest. Refer to the rate table above for the tenure-wise breakdown of this top bank FD.
5.How does Canara Bank structure its FD interest rates among the top bank FDs in India?
Canara Bank's fixed deposit interest rate depends on the deposit tenure and the amount invested. The exact tenure-wise rates for this top bank FD are listed in the comparison table above.
6.Is there a minimum deposit amount required to get the rates shown for these top bank FDs in India?
Each top bank in India sets its own deposit threshold for the interest rates shown in the comparison table above. Larger deposits above a bank's standard threshold may be eligible for a separately negotiated rate.
7.Do senior citizens get a better FD rate from top banks in India?
Yes, most top banks in India pay senior citizens a higher fixed deposit interest rate than regular customers, though the exact additional rate is set individually by each bank. Check the bank-specific section above for the applicable senior citizen benefit.
8.Is there a maximum amount I can invest in a top bank FD in India?
Most top banks in India do not cap the maximum amount you can invest in a fixed deposit, though this can vary by bank. Very large deposits can often be negotiated for a customised interest rate directly with the bank.
9.Do senior citizens receive any other benefits on top bank FDs in India?
Yes, many top banks in India extend the senior citizen interest rate benefit even when a senior citizen opens a joint fixed deposit with a co-applicant who is not a senior citizen. This makes it easier for senior citizens to access preferential rates on joint accounts.
10.Does interest on a top bank FD in India attract TDS?
Yes, banks deduct TDS once the interest earned on a fixed deposit crosses the threshold set under the Income Tax Act, and this threshold is higher for senior citizens than for regular depositors. If your total income is below the taxable limit, you can submit Form 15G or 15H to avoid the deduction.
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