Investment in Fixed Deposits is considered as one of the secure options for retirement savings. Most of the investors prefer FDs due to the secured return at a predetermined interest rate and low risk factor.  Many banks offer up to 8 per cent of interest rate for FDs of different periods ranging from three months to 5 years and more.

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However, most of the banks offer higher interest rates for senior citizens compared to other customers. A few small finance banks, which cater to the small business and low income groups, are also offering lucrative interest rates on FDs. For instance, Suryoday Small Finance Bank is offering 9.1 per cent interest rate on FDs to senior citizens, which is higher than the returns offered by other bank FDs.

If you're looking for lucrative returns for FD investments, go through the below-mentioned list to know the best rates offered by small finance banks.

Suryoday Small Finance Bank Fixed Deposit rates

Suryoday Small Finance Bank is a small finance bank headquartered in Navi Mumbai and aims to offer the best banking solutions to both urban and rural customers. Suryoday Bank Fixed Deposit rates for 1-year tenure for general public and senior citizens are 6.85 per cent and 7.35 per cent, respectively. Moreover, 5-year FD rates are way higher as it offers 8.25 per cent for the general public and 8.75 per cent for senior citizens on a deposit of up to Rs 2 crore. A senior citizen can earn an interest of 9.1 per cent for  a 3-year FD.  

Unity Small Finance Bank Fixed Deposit rates

Unity Small Finance Bank is also offering substantial returns on FDs as its interest rates range between 4.5 per cent and 9 per cent for general citizens; and between 4.5 per cent and 9.5 per cent for senior citizens. The highest rate of interest on FDs for senior citizens is 9.5 per cent applicable on a deposit of 1,001 days (2 years and 7 months).

Utkarsh Small Finance Bank FD rates

While FD rates offered by Utkarsh Small Finance Bank are lesser than the above-mentioned small finance banks, it's still a good option for FD investments as it ensures better returns than private or public sector banks. On a deposit ranging between two to three years, it provides an interest of up to 8.5 per cent for general citizens and 9.1 per cent for senior citizens.

Jana Small Finance Bank FD rates

Jana Small Finance Bank provides an option to invest in regular fixed deposits or FD Plus deposits. The interest rates for the general customers range between 3 per cent and 8.5 per cent. This small finance bank offers an additional interest of 0.5 per cent to senior citizens on all FD tenures. On a deposit ranging between two to three years it offers an interest rate of up to 8.5 per cent for general customers and 9 per cent for senior citizens.

Ujjivan Small Finance Bank FD rates

Ujjivan Small Finance Bank Fixed Deposit rates range between 3.75 per cent and 8.25 per cent for general customers. On the other hand, senior citizens get an additional interest of 0.75 per cent on all FD tenures. On a deposit of more than one year (560 days), it offers an interest of up to 8.25 per cent for general citizens and 8.75 per cent for senior citizens.