Best Fixed Deposit (FD) Interest Rates for Senior Citizens in 2025

Fixed Deposits (FDs) are one of the safest investment options for senior citizens. They offer guaranteed returns and higher interest rates compared to regular depositors. The interest rates on FDs vary from bank to bank and depend on the tenure of the deposit.

Who Can Open a Senior Citizen FD?

Senior citizen FD schemes are available for Indian residents above 60 years of age. These FDs come with flexible tenures ranging from 7 days to 10 years. The minimum deposit amount varies from bank to bank.

Senior Citizen FD Interest Rates in Different Banks

Here’s a look at the best FD interest rates offered by leading public and private sector banks in India.

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State Bank of India (SBI)

• 7.75% interest on 444 days (Amrit Vrishti scheme)
• 7.30% on 1-year FD
• 7.25% on 3-year FD
• 7.50% on 5-year FD

Bank of Baroda (BoB)

• 7.80% on 400 days (Bob Utsav scheme)
• 7.35% on 1-year FD
• 7.65% on 3-year FD
• 7.40% on 5-year FD

Punjab National Bank (PNB)

• 7.75% on 400 days FD scheme
• 7.30% on 1-year FD
• 7.50% on 3-year FD
• 7.00% on 5-year FD

Canara Bank

• 7.90% on 3 years to less than 5 years FD scheme
• 7.35% on 1-year FD
• 7.90% on 3-year FD
• 7.20% on 5-year FD

ICICI Bank

• 7.80% on 15 months to less than 18 months FD
• 7.20% on 1-year FD
• 7.50% on 3-year FD
• 7.50% on 5-year FD

HDFC Bank

• 7.90% on 4 Years 7 Months (55 months) FD
• 7.10% on 1-year FD
• 7.50% on 3-year FD
• 7.50% on 5-year FD

Axis Bank

• 7.75% on 15 months to less than 2 years; 5 years to 10 years FD
• 7.20% on 1-year FD
• 7.60% on 3-year FD
• 7.75% on 5-year FD

Long-Term FD Benefits for Senior Citizens

• Senior citizens can get 7.50% interest on a 10-year FD.
• Higher FD interest rates help secure a steady income after retirement.
• Fixed Deposits also offer tax-saving options under Section 80C of the Income Tax Act for deposits with a 5-year lock-in period.

Conclusion

FDs continue to be a safe and reliable investment for senior citizens, offering higher returns than regular savings accounts. Banks like SBI, BoB, PNB, ICICI, HDFC, and Axis Bank provide competitive interest rates, making it easier for retirees to grow their savings securely. Before investing, senior citizens should compare FD rates and choose the best option based on their financial needs.