Fixed deposits: These two banks have revised interest rates in October

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Fixed deposits (FD) are still considered by many as a dependable and secure option to invest one’s hard-earned money. It offers fixed and guaranteed returns upon maturity. In October, two major public sector lenders Indian Bank and Central Bank of India revised interest rates on fixed deposits (FDs). Both banks offer FD tenures ranging from seven days to 10 years. Interest rates vary from bank by bank.

Indian Bank FD rates

Indian Bank has slashed interest rates on FDs of less than Rs 2 crore on different tenures. Now they are offering a minimum of 2.80% to a maximum of 5.25% interest across tenures between seven days to above five years to the general public. Senior citizens will continue to get an additional rate of 0.50% per annum for an amount up to Rs 10 crore. The new rates came into effect from October 4, 2021.

Let’s take a look on tenure-wise rates:

7 days to 14 days, 15 days to 29 days, 30 days to 45 days: 2.8%

46 days to 90 days: 3.25%

91 days to 120 days: 3.35%

121 days to 180 days: 3.50%

181 days to less than 9 months: 4%

9 months to less than 1 year: 4.4%

1 year: 4.95%

Above 1 year to less than 2 years: 5%

2 years to less than 3 years: 5.1%

3 years to less than 5 years, 5 years: 5.25%

Above 5 years: 5.15%

Central Bank of India FD rates

Central Bank of India, another public sector bank, has also changed its fixed deposit interest rates. The new rates are applicable from October 10, 2021. After the recent revision, this bank is offering 2.75% to 5% interest on deposits maturing between seven days to 10 years.

Let’s take a look on tenure-wise rates:

7 to 14 days: 2.75%

15 to 30 days, 31 to 45 days: 2.9%

46 to 59 days, 60 to 90 days: 3.25%

91 to 179 days: 3.8%

180 to 270 days, 271 to 364 days: 4.25%

1 year to less than 2 years: 4.9%

2 years to less than 3 years, 3 year to less than 5 years, 5 years & above up to 10 years: 5%

Other banks

State Bank of India (SBI), the country’s largest lender, offers interest rates between 2.90% to 5.40% on FDs for deposits below Rs 2 crore for tenure between seven days and 10 years to the general public. But senior citizens will earn minimum 3.40% to maximum 6.20% interest on their deposits. This rate is effective from January 1, 2021.

On the other hand, HDFC Bank, the largest private sector bank, now offers 2.50% to 5.50% interest on FDs up to Rs 2 crore for the general public. Like other government-owned banks, HDFC Bank is also giving extra interest on FDs to senior citizens. Now, senior citizens can get 3% to 6.25% interest on their deposits in HDFC Bank.