(Pooja Pal; Intern Journalist): In this climate of economic slowdown, RBI has reduced the repo rate significantly. Due to this, car loans, home loans, and other retail loans have become cheaper. However, the reduction in interest rates has also affected the returns on Fixed Deposit (FD). Most of the major banks in the country have reduced the interest rate on FD. However, the guarantee of fixed returns still makes this scheme quite attractive for investors. Fixed deposits are also called term deposits. This is because one invests in a bank for a pre-determined period. The following banks are offering great interest on FD to their customers even today.
The bank is paying 7.35% interest on FD of 36 months to 120 months duration. The bank is offering interest at 7.85% to senior citizens on term deposits of the same period.
IDFC First Bank
This bank is paying 7.25% interest on FD of 1 year to 10 years duration. At the same time, the bank is paying 8% interest to senior citizens.
Yes Bank of the private sector is offering interest at the rate of 7.25% on FDs ranging from 1 year to 10 years. This bank is also giving an additional interest of 0.50% to senior citizens.
This bank is paying interest at the rate of 7.25% on term deposits ranging from 24 months to 36 months. At the same time, the bank is offering interest at the rate of 7.75% to senior citizens in the same period.
This bank is paying 7% interest on FDs ranging from 1 year to 1 year and two days. During the same period, the bank is paying interest of 7.50% to senior citizens.