Know Your FD Rate: SBI, HDFC Bank, ICICI Bank, PNB, other major lenders offer these returns to senior citizens now
Fxed deposit rates for senior citizens offered by major banks including SBI, PNB, HDFC bank and more.
Senior Citizen Fixed Deposits come with attractive features like higher interest rates, flexible tenures ranging from 7 days to 10 years, and the option for premature withdrawals or loans. These deposits also offer conveniences such as nomination facilities, automatic renewals, and tax-saving benefits under Section 80C for 5-year tenures. While bulk deposits are an option, they may not always provide preferential rates. Below are the interest rates for senior citizen fixed deposits offered by major banks like SBI, PNB, HDFC Bank, and others.
State Bank of India (SBI)
Interest Rate: 7.75%
Tenure: 444 days
HDFC Bank
Interest Rate: 7.9%
Tenure: 4 Years 7 Months (55 months)
Axis Bank
Interest Rate: 7.75%
Tenure: 5 years to 10 years
Punjab National Bank (PNB)
Interest Rate: 7.75%
Tenure: 400 days
Bank of India (BOI)
Interest Rate: 7.8%
Tenure: 666 days
ICICI Bank
Interest Rate: 7.8%
Tenure: 15 months to less than 18 months
Canara Bank
Interest Rate: 7.75%
Tenure: 444 days
Bank of Baroda (BOB)
Interest Rate: 7.75%
Tenure: 399 days
Higher Interest Rates
Senior Citizen Fixed Deposits offer higher interest rates compared to regular FDs, usually ranging from 0.25% to 0.65% more.
Flexible Tenure
The tenure for these FDs can range from as short as 7 days to as long as 10 years, allowing flexibility based on individual needs.
Premature Withdrawals & Loans
FDs allow premature withdrawals with a penalty and can also be used as collateral for loans, making them a versatile financial tool.
Nomination & Automatic Renewals
Senior Citizen FDs come with a nomination facility to ease the claim process, and many banks offer automatic renewals upon maturity.
Tax Savings & Bulk Deposits
FDs with a 5-year tenure qualify for tax savings under Section 80C, and bulk deposits (starting from Rs. 2 crores) are also available, though they may not offer preferential rates.
Benefits of Fixed Deposits (FD) for Senior Citizens
Low-Risk Investment: Senior Citizen FDs are considered one of the safest investment options.
Returns are unaffected by market fluctuations, ensuring stable growth.
Guaranteed Returns with Maximum Security
FDs offer fixed interest rates throughout the tenure, unaffected by market changes.
Senior citizens can anticipate consistent returns from their investments.
Flexible Interest Payout Options
Senior citizens can choose from multiple interest payout options: monthly, quarterly, half-yearly, or yearly.
These options allow for tailored financial planning according to personal needs.
Conversion to Monthly Income
Interest earned on FDs can be used as a steady monthly income stream.
This option supports a smoother financial management during retirement.
How to Open a Senior Citizen FD Account
Senior citizens can open an FD account either by visiting a bank or online.
Post offices also offer FD account services; the process involves filling out an application form and depositing funds via cheque or demand draft.