Duration for which money is deposited in fixed deposits (FD) enables customers to earn an interest rate.
Bank fixed deposit or bank FD is an investment instrument characterised with a higher interest rate compared with savings bank account. In a bank FD, a customer is required to deposit a fixed amount of money for a pre-defined time period. The duration for which the money is deposited in a fixed deposit enables the customer to earn an interest rate and thus generate interest income. Interest income earned on fixed deposits invites income tax, which is deducted at source. This income tax is known as TDS ('tax deducted at source'). The tenure of a fixed deposit varies from 7 days to 10 years. In case a customer wants to deposit more money in an FD account, he or she is not allowed to do so as the amount in the account is fixed until the maturity period.
Leading banks offer the option of opening fixed deposit accounts. Different banks pay varying interest rates on fixed deposits of varying tenures. An amount of less than Rs 1 crore for a five-year fixed deposit (general public) fetches an interest rate of 6.25 per cent from Kotak Mahindra Bank, 7 per cent from Axis Bank, 6.75 per cent from State Bank of India (SBI), 6.5 per cent from ICICI Bank, and 7 per cent from HDFC Bank.
(Also Read: When Your PPF Account Works Like A 5-Year Bank Fixed Deposit)
Here are the interest rates on fixed deposits offered by Kotak Mahindra Bank, Axis Bank, SBI, ICICI Bank, HDFC Bank:
Kotak Mahindra Bank fixed deposit interest rates for domestic / NRO / NRE fixed deposits| | Regular | Senior Citizen* |
| Maturity Periods - Premature Withdrawal Allowed | Less than Rs.1 Crore# | Less than Rs.1 Crore# |
| 7 - 14 Days | 3.50% | 4.00% |
| 15 - 30 Days | 4.00% | 4.50% |
| 31 - 45 Days | 5.00% | 5.50% |
| 46 - 90 Days | 5.40% | 5.90% |
| 91 - 120 Days | 6.00% | 6.50% |
| 121 - 179 days | 6.25% | 6.75% |
| 180 Days | 6.50% | 7.00% |
| 181 Days to 269 Days | 6.50% | 7.00% |
| 270 Days | 6.50% | 7.00% |
| 271 Days to 363 Days | 6.50% | 7.00% |
| 364 Days | 6.90% | 7.40% |
| 365 Days to 389 Days | 6.90% | 7.40% |
| 390 Days (12 months 25 days) | 7.00% | 7.50% |
| 391 Days - Less than 23 Months | 6.90% | 7.40% |
| 23 Months | 6.90% | 7.40% |
| 23 months 1 Day- less than 2 years | 6.90% | 7.40% |
| 2 years- less than 3 years | 6.75% | 7.25% |
| 3 years and above but less than 4 years | 6.50% | 7.00% |
| 4 years and above but less than 5 years | 6.50% | 7.00% |
| 5 years and above upto and inclusive of 10 years | 6.25% | 6.75% |
Fixed deposit interest rates of Axis Bank | PERIOD | INTEREST RATES (% P.A.) |
| | INTEREST RATE ON DEPOSITS |
| | BELOW RS. 1 CRORE |
| | |
| 7 days to 14 days | 3.5 |
| 15 days to 29 days | 3.5 |
| 30 days to 45 days | 5.5 |
| 46 days to 60 days | 6 |
| 61 days < 3 months | 6 |
| 3 months < 4 months | 6 |
| 4 months < 5 months | 6 |
| 5 months < 6 months | 6 |
| 6 months < 7 months | 6.25 |
| 7 months < 8 months | 6.25 |
| 8 months < 9 months | 6.25 |
| 9 months < 10 months | 6.5 |
| 10 months < 11 months | 6.5 |
| 11 months < 1 year | 6.5 |
| 1 year < 13 months | 7.1 |
| 13 months < 14 months | 7.1 |
| 14 months < 15 months | 7 |
| 15 months < 16 months | 7 |
| 16 months < 17 months | 7 |
| 17 months < 18 months | 7 |
| 18 Months < 2 years | 7 |
| 2 years < 30 months | 7 |
| 30 months < 3 years | 7 |
| 3 years < 5 years | 7 |
| 5 years to 10 years | 7 |
| PERIOD | INTEREST RATES (% P.A.) |
| | INTEREST RATE ON DEPOSITS |
| | BELOW RS. I CRORE |
| 7 days to 14 days | 3.5 |
| 15 days to 29 days | 3.5 |
| 30 days to 45 days | 5.5 |
| 46 days to 60 days | 6 |
| 61 days < 3 months | 6 |
| 3 months < 4 months | 6 |
| 4 months < 5 months | 6 |
| 5 months < 6 months | 6 |
| 6 months < 7 months | 6.5 |
| 7 months < 8 months | 6.5 |
| 8 months < 9 months | 6.5 |
| 9 months < 10 months | 6.75 |
| 10 months < 11 months | 6.75 |
| 11 months < I year | 6.75 |
| 1 year < 13 months | 7.75 |
| 13 months < 14 months | 7.75 |
| 14 months < 15 months | 7.65 |
| 15 months < 16 months | 7.65 |
| 16 months < 17 months | 7.65 |
| 17 months < 18 months | 7.65 |
| 18 Months < 2 years | 7.65 |
| 2 years < 30 months | 7.65 |
| 30 months < 3 years | 7.5 |
| 3 years < 5 years | 7.5 |
| 5 years to 10 years | 7.5 |
State Bank of India (SBI) fixed deposit interest rates on deposits less than Rs 1 crore (according to sbi.co.in)| Tenors | Existing for Public w.e.f. 28.02.2018 | Revised For Public w.e.f. 28.03.2018 | Existing for Senior Citizens w.e.f. 28.02.2018 | Revised for Senior Citizens w.e.f. 28.03.2018 |
| 7 days to 45 days | 5.75 | 5.75 | 6.25 | 6.25 |
| 46 days to 179 days | 6.25 | 6.25 | 6.75 | 6.75 |
| 180 days to 210 days | 6.35 | 6.35 | 6.85 | 6.85 |
| 211 days to less than 1 year | 6.4 | 6.4 | 6.9 | 6.9 |
| 1 year to less than 2 year | 6.4 | 6.4 | 6.9 | 6.9 |
| 2 years to less than 3 years | 6.5 | 6.6 | 7 | 7.1 |
| 3 years to less than 5 years | 6.5 | 6.7 | 7 | 7.2 |
| 5 years and up to 10 years | 6.5 | 6.75 | 7 | 7.25 |
Fixed deposit interest rates of ICICI Bank| Tenure Period | Rate of Interest (% p.a.) w.e.f December 11, 2017 |
| | General | Senior Citizen* |
| 7 days to 14 days | 4 | 4.5 |
| 15 days to 29 days | 4.25 | 4.75 |
| 30 days to 45 days | 5.5 | 6 |
| 46 days to 60 days | 5.75 | 6.25 |
| 61 days to 90 days | 6 | 6.5 |
| 91 days to 120 days | 6 | 6.5 |
| 121 days to 184 days | 6 | 6.5 |
| 185 days to 289 days | 6.25 | 6.75 |
| 290 days to less than 1 year | 6.5 | 7 |
| 1 year to 389 days | 6.6 | 7.1 |
| 390 days to 2 years | 6.75 | 7.25 |
| 2 years 1 day up to 5 years | 6.5 | 7 |
| 5 years 1 day upto 10 years | 6.5 | 7 |
| 5 Years Tax saver FD(Max upto Rs. 1.50 lac) | 6.5 | 7 |
Fixed deposit interest rates of HDFC Bank | Period | < 1 Crore |
| | Interest Rate | **Senior Citizen Rates |
| | (per annum) | (per annum) |
| 7 - 14 days | 3.50% | 4.00% |
| 15 - 29 days | 4.25% | 4.75% |
| 30 - 45 days | 5.50% | 6.00% |
| 46 - 60 days | 5.75% | 6.25% |
| 61 - 90 days | 5.75% | 6.25% |
| 91 days - 6 months | 5.75% | 6.25% |
| 6 mnths 1 day- 6 mnths 3 days | 6.00% | 6.50% |
| 6 mnths 4 days | 6.00% | 6.50% |
| 6 mnths 5 days- 9 mnths | 6.00% | 6.50% |
| 9 mnths 1 day- 9 mnths 3 days | 6.00% | 6.50% |
| 9 mnths 4 days | 6.00% | 6.50% |
| 9 months 5 days - 9 months 15 days | 6.00% | 6.50% |
| 9 months 16 days | 6.25% | 6.75% |
| 9 months 17 days < 1 Year | 6.25% | 6.75% |
| 1 Year | 6.85% | 7.35% |
| 1 year 1 day - 1 year 3 days | 6.50% | 7.00% |
| 1 year 4 days | 6.25% | 6.75% |
| 1 year 5 days - 1 Year 15 Days | 6.25% | 6.75% |
| 1 Year 16 days | 6.25% | 6.75% |
| 1 year 17 days - 2 Years | 7.00% | 7.50% |
| 2 years 1day - 2 Years 15 days | 7.00% | 7.50% |
| 2 Years 16 days | 7.00% | 7.50% |
| 2 years 17 days - 3 Years | 7.00% | 7.50% |
| 3 years 1day - 5 years | 7.00% | 7.50% |
| 5 Years 1 Day - 8 Years | 6.00% | 6.50% |
| 8 Years 1 Day - 10 Years | 6.00% | 6.50% |
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