Lenders also pay slightly higher interest rates on fixed deposits to senior citizens.A fixed deposit (FDs) is a secure financial instrument offered by banks, which fetch guaranteed returns.
In a fixed deposit account, money can be invested for a higher rate of interest than savings accounts.
One can deposit a lump sum of money in fixed deposits for a specific period, ranging from seven days to 10 years.
The fixed deposit accounts which have a lock-in period of five or 10 years also offer income tax benefit under Section 80C of the Income Tax Act.Here's a comparison of interest rates offered by SBI, Dena Bank, HDFC Bank and ICICI Bank on fixed deposits up to Rs.
1 crore:State Bank of India (SBI)The following FD interest rates are applicable on deposits below Rs.
1 crore, according to the bank's website - sbi.co.in:Maturity period (term)Interest rate with effect from July 30, 2018General publicSenior citizen7 days to 45 days5.756.2546 days to 179 days6.256.75180 days to 210 days6.356.85211 days to less than 1 year6.46.91 year to less than 2 year6.77.22 years to less than 3 years6.757.253 years to less than 5 years6.87.35 years and up to 10 years6.857.35(Source: sbi.co.in)Dena BankThe following FD interest rates are applicable from September 3, 2018, on deposits below Rs.
1 crore, according to the bank's website - denabank.com:Maturity PeriodRate of Interest below Rs 1 Crore07 days to 14 days415 days to 29 days430 days to 45 days4.546 days to 60 days5.7561 days to 90 days5.7591 days to 120 days5.75121 days to 179 days5.75180 days to 270 days6.25271 days to 364 days6.25365 days / 1 year6.65More than 1 yr to less than 2 years6.752 years to less than 3 years6.63 years to less than 5 years6.255 years to less than 8 years6.38 years to 10 years6.3Senior citizens will get an additional 0.50 per cent interest over and above rates except NRI deposits, said the bank.HDFC BankThe following FD interest rates are applicable on deposits below Rs.
1 crore from November 6, 2018, according to the bank's website - hdfcbank.com:ICICI BankThe following FD interest rates are applicable on deposits below Rs.
1 crore, according to the bank's website - icicibank.com:Tenure PeriodRate of Interest (% p.a.) w.e.f November 15, 2018GeneralSenior Citizen7 days to 14 days44.515 days to 29 days4.254.7530 days to 45 days5.5646 days to 60 days66.561 days to 90 days6.256.7591 days to 120 days6.256.75121 days to 184 days6.256.75185 days to 289 days6.57290 days to less than 1 year6.757.251 year to 389 days6.97.4390 days to 2 years7.17.62 years 1 day upto 3 years7.583 years 1 day upto 5 years7.257.755 years 1 day upto 10 years77.55 Years Tax saver FD(Max upto Rs.
1.50 lac)7.257.75Lenders also pay slightly higher interest rates on fixed deposits to senior citizens, compared to the general public.