SBI vs PNB vs BOB vs Canara vs HDFC Bank: Which Offers Highest Interest on FD?
Best FD Interest Rates: Fixed Deposit, commonly referred to as FD, has long been a beloved investment option among Indian investors. Known for its inherent security and minimal risk of loss, FDs stand as a testament to the traditional saving sentiment of the Indian populace. Over time, this sentiment has only strengthened, especially among senior citizens who prioritize the security of their capital. The peace of mind that comes with the assurance of getting the principal amount back, along with the interest, makes FDs a preferred choice for them.
Recent trends have witnessed a surge in FD interest rates, making them increasingly appealing not just to the senior demographic but also to the general investors. The lure of attractive returns, especially in a volatile market, further bolsters its position as a favored investment avenue. However, with an array of banks offering varying interest rates, it becomes imperative for a discerning investor to compare and contrast these rates to maximize returns.
Let’s delve into the interest rates on FDs offered by some of the prominent banks in India:
State Bank of India (SBI): For tenure ranging from 6 months to less than a year, SBI offers an interest rate between 5.25% to 5.75%. This jumps to 6.80%-7.10% for deposits held from 1 year to less than 2 years. For 2 to 3-year durations, the rate is fixed at 7.00%, whereas for longer periods, spanning 3 to 5 years and 5 years and above, the rate stands at 6.50%.
Punjab National Bank (PNB): FDs with tenures of 6 months to a year come with interest rates ranging from 5.50% to 5.80%. For the subsequent year, the rate is between 6.75% and 7.25%. The 2-3 year bracket sees a rate of 6.80%-7.00%, and for periods of 3 to 5 years and beyond, the rate hovers around 6.50%.
Bank of Baroda (BoB): BoB offers rates from 5.00% to 6.25% for the 6-month to 1-year duration. This escalates to 6.75%-7.15% for the next year. Between 2 to 3 years, it ranges from 6.75% to 7.25%. For longer tenures of 3 to 5 years and 5 years and above, the rate is consistent at 6.50%.
Canara Bank: For deposits lasting 6 months to a year, the rate is between 6.15% and 6.25%. It then rises to 6.85%-7.25% for the next year. For the 2-3 year bracket, the interest is at 6.85%. For durations of 3-5 years and 5 years and more, the interest rates are 6.80% and 6.70% respectively.
HDFC Bank: HDFC Bank offers a rate spanning from 4.50% to 6.00% for the initial 6 months to 1-year duration. For the subsequent year, it varies between 6.60% and 7.10%. From 2 to 3 years, the rate is 7.00%-7.15%. For the longer terms of 3-5 years and 5 years and above, the rates are 7.00%-7.20% and 7.00% respectively.
