A Fixed Deposit (FD), also known as a ‘time deposit’ or ‘term deposit’, is a popular investment option where individuals can deposit their money for a fixed period and earn interest at regular intervals or upon maturity. FDs provide income certainty and capital protection, making them especially appealing to new and conservative investors. These features also make FDs an ideal choice for achieving short-term financial goals and managing emergency and post-retirement funds.
Fixed Deposits typically offer higher interest rates compared to regular savings accounts, which attracts individuals looking to grow their savings with minimal risk. However, FDs often come with restrictions on withdrawals during the deposit period, which may incur penalties.
Current High-Interest FD Rates from Major Banks in India
Here are some of the highest interest rates currently offered by prominent banks in India:
Punjab National Bank
- Highest slab: 7.25%
- 1 year tenure: 6.75%
- 3 year tenure: 7.00%
- 5 year tenure: 6.50%
HDFC Bank
- Highest slab: 7.25%
- 1-year tenure: 6.60%
- 3-year tenure: 7.15%
- 5-year tenure: 7.20%
ICICI Bank
- Highest slab: 7.20%
- 1-year tenure: 6.70%
- 3-year tenure: 7.00%
- 5-year tenure: 7.00%
Canara Bank
- Highest slab: 7.25%
- 1-year tenure: 6.85%
- 3-year tenure: 6.80%
- 5-year tenure: 6.70%
Axis Bank
- Highest slab: 7.20%
- 1-year tenure: 6.70%
- 3-year tenure: 7.10%
- 5-year tenure: 7.00%
Bank of Baroda
- Highest slab: 7.25%
- 1-year tenure: 6.85%
- 3-year tenure: 7.25%
- 5-year tenure: 6.50%
