Banks pay a higher rate of interest to senior citizens compared to general public on FDs

Axis Bank revised its fixed deposit interest rates on select maturities with effect from Wednesday, according to the private sector lender's website. A fixed deposit (FDs) is a financial instrument which offers guaranteed return. Unlike stocks and mutual funds, fixed deposits offer assured returns as they are unaffected by market volatility, experts say. Customers can invest money in fixed deposits for a specific period, ranging from seven days to 10 years. Banks usually pay a higher rate of interest to senior citizens compared to general public on fixed deposit accounts.

Here's a comparison of fixed deposit (FD) interest rates paid by Axis Bank, State Bank of India (SBI), Punjab National Bank (PNB), HDFC Bank and ICICI Bank:

Axis Bank

The following FD interest rates are applicable on deposits below Rs. 2 crore with effect from May 29, 2019, according to axisbank.com:

Period General public (% p.a.) Senior citizen (% p.a.) 7 days to 14 days 3.5 3.5 15 days to 29 days 3.5 3.5 30 days to 45 days 5.5 5.5 46 days to 60 days 6.25 6.25 61 days < 3 months 6.25 6.25 3 months < 4 months 6.25 6.25 4 months < 5 month 6.25 6.25 5 months < 6 months 6.25 6.25 6 months < 7 months 6.75 7 7 months < 8 months 6.75 7 8 months < 9 months 6.75 7 9 months < 10 months 7.1 7.35 10 months < 11 months 7.1 7.35 11 months < 1 year 7.1 7.35 1 year < 1 year 5 days 7.1 7.75 1 year 5 days < 1 year 11 days 7.1 7.75 1 year 11 days < 1 year 25 days 7.1 7.75 1 year 25 days < 13 months 7.3 7.95 13 months < 14 months 7.3 7.95 14 months < 15 months 7.3 7.95 15 months < 16 months 7.3 7.95 16 months < 17 months 7.3 7.95 17 months < 18 months 7.3 7.95 18 Months < 2 years 7.3 7.95 2 years < 30 months 7.3 7.95 30 months < 3 years 7.3 7.8 3 years < 5 years 7.25 7.75 5 years to 10 years 7 7.5

State Bank of India

The following FD interest rates are applicable on deposits below Rs. 2 crore with effect from May 9, 2019, according to sbi.co.in:

Period General public (% p.a.) Senior citizens (% p.a.) 7 days to 45 days 5.75 6.25 46 days to 179 days 6.25 6.75 180 days to 210 days 6.35 6.85 211 days to less than 1 year 6.4 6.9 1 year to less than 2 year 7 7.5 2 years to less than 3 years 6.75 7.25 3 years to less than 5 years 6.7 7.2 5 years and up to 10 years 6.6 7.1

Punjab National Bank

The following FD interest rates are applicable on deposits up to Rs. 2 crore with effect from May 1, 2019, according to pnbindia.in:

Period General public (% p.a.) Senior Citizen (% p.a.) 7 to 14 days 5.75 6.25 15 to 29 days 5.75 6.25 30 to 45 days 5.75 6.25 46 to 90 days 6.35 6.85 91 to 179 days 6.35 6.85 111 days 6.5 7 180 days to 270 Days 6.35 6.85 222 days 6.6 7.1 271 days to less than 1 year 6.35 6.85 333 days 6.95 7.45 1 year 7 7.5 555 days 6.85 7.35 above 1 year & up to 3 years 6.75 7.25 above 3 year & up to 5 years 6.25 6.75 above 5 years & up to 10 years 6.25 6.75

HDFC Bank

The following FD interest rates are applicable on deposits below Rs. 2 crore from April 11, 2019, according to hdfcbank.com:

Period General public (% p.a.) Senior citizen (% p.a.) 7 - 14 days 3.50 4.00 15 - 29 days 4.25 4.75 30 - 45 days 5.75 6.25 46 - 60 days 6.25 6.75 61 - 90 days 6.25 6.75 91 days - 6 months 6.25 6.75 6 months 1 day- 6 months 3 days 6.75 7.25 6 months 4 days 6.75 7.25 6 months 5 days - 9 months 6.75 7.25 9 months 1 day- 9 months 3 days 7.10 7.60 9 months 4 days 7.10 7.60 9 months 5 days - 9 months 15 days 7.10 7.60 9 months 16 days 7.10 7.60 9 months 17 days < 1 Year 7.10 7.60 1 Year 7.30 7.80 1 year 1 day - 1 year 3 days 7.30 7.80 1 year 4 days 7.30 7.80 1 year 5 days - 1 Year 15 Days 7.30 7.80 1 Year 16 days 7.30 7.80 1 year 17 days - 2 Years 7.30 7.80 2 years 1 day - 2 Years 15 days 7.40 7.90 2 Years 16 days 7.40 7.90 2 years 17 days - 3 Years 7.40 7.90 3 years 1 day - 5 years 7.25 7.75 5 Years 1 Day - 8 Years 6.50 7.00 8 Years 1 Day - 10 Years 6.50 7.00

ICICI Bank

The following FD interest rates are applicable on deposits below Rs. 2 crore from March 7, 2019, according to icicibank.com:



Period General public (% p.a.) Senior citizens (% p.a.) 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 6 6.5 61 days to 90 days 6.25 6.75 91 days to 120 days 6.25 6.75 121 days to 184 days 6.25 6.75 185 days to 289 days 6.5 7 290 days to less than 1 year 6.75 7.25 1 year to 389 days 6.9 7.4 390 days to 2 years 7.1 7.6 2 years 1 day up to 3 years 7.5 8 3 years 1 day up to 5 years 7.25 7.75 5 years 1 day up to 10 years 7 7.5 5 Years Tax saver FD (Max up to Rs. 1.50 lac) 7.25 7.75

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.