Before investing in a fixed deposit, investors often compare interest rates offered by different banks. Even a small difference in interest rates can significantly impact returns over time. For example, an additional 50 basis points on a ₹10 lakh FD can lead to an extra ₹5,000 in one year. Over three years, this extra income can spike to ₹15,000, and if the FD amount is doubled, the additional income can reach ₹30,000.
Here are the highest interest rates offered by different banks across various tenures:
– Federal Bank: 7.5% for regular citizens and 8% for senior citizens on a 444-day tenure.
– HDFC Bank: 7.4% for regular citizens and 7.9% for senior citizens on a 4-year, 7-month FD.
– ICICI Bank: 7.25% for regular citizens and 7.85% for senior citizens on a 15-18 month FD.
– Kotak Mahindra Bank: 7.4% for regular citizens and 7.9% for senior citizens on a 390-391 day FD.
– State Bank of India (SBI): 7% for regular citizens and 7.5% for senior citizens on a 2-3 year FD.
– Bank of Baroda: 7.15% for regular citizens and 7.65% for senior citizens on a 2-3 year FD.
– Union Bank: 7.3% for regular citizens and 7.8% for senior citizens on a 456-day FD.
These rates highlight the importance of comparing FD interest rates to maximize returns.