Fixed deposits’ interest rates are rising, with many banks recently increasing their rates for different tenures. Fixed deposits (FDs) are a popular saving option amongst investors as they are safe and offer assured returns. They come in multiple tenure options ranging from 7 days to 10 years. However, low-interest rates have been a cause of worry for many risk-averse investors like senior citizens, who often rely on their FD returns for their day-to-day expenses. A few private and small finance banks are still offering above-average FD returns. Investors could consider investing a portion of their funds in FDs of these banks after a thorough risk assessment and if doing so is in line with their returns expectations and risk appetite.
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So, if you’re planning to open an FD account, here is a list of 10 banks currently offering the country’s highest interest rates for FDs with tenures between 3 to 5 years.
| Bank Name | Highest Advertised Interest Rate On 3 to 5 Years FDs |
| Jana Small Finance Bank | 7.35 |
| Ujjivan Small Finance Bank | 7.2 |
| Fincare Small Finance Bank | 7 |
| AU Small Finance Bank | 6.9 |
| Suryoday Small Finance Bank | 6.75 |
| DCB Bank | 6.6 |
| Yes Bank | 6.5 |
| IDFC First Bank | 6.5 |
| IndusInd Bank | 6.5 |
| RBL Bank | 6.3 |
Disclaimer: Data as on respective banks’ websites on June 24, 2022. All rates for normal FDs amounting to less than Rs.1 crore.
