FD Interest Rates in India (April 2026): Bank-by-Bank Comparison

Picking the right bank for your Fixed Deposit can mean thousands of rupees in extra interest over the tenure. Here's a comprehensive, up-to-date comparison of FD rates across India's biggest banks and financial institutions as of April 2026.

Major Bank FD Rates — General Citizens

Rates shown are for deposits below ₹3 crore, 1-year to 3-year tenure range:

• **SBI**: 6.70% – 6.80%
• **HDFC Bank**: 6.90% – 7.00%
• **ICICI Bank**: 6.80% – 6.90%
• **Axis Bank**: 6.95% – 7.00%
• **PNB (Punjab National Bank)**: 6.75% – 6.90%
• **Kotak Mahindra Bank**: 7.00% – 7.10%
• **Bank of Baroda**: 6.75% – 6.85%
• **Canara Bank**: 6.70% – 6.85%

Senior Citizen FD Rates (60+ Years)

Senior citizens receive a premium of 0.25% to 0.50% over regular rates. Some banks offer additional benefits for super senior citizens (80+):

• **SBI**: 7.20% – 7.30% (additional 0.50%)
• **HDFC Bank**: 7.40% – 7.50% (additional 0.50%)
• **ICICI Bank**: 7.30% – 7.40% (additional 0.50%)
• **Axis Bank**: 7.20% – 7.50% (up to 0.50%)
• **PNB**: 7.25% – 7.40% (additional 0.50%)
• **Kotak Mahindra Bank**: 7.50% – 7.60% (additional 0.50%)

Small Finance Banks — Higher Rates, Same Insurance

Small finance banks often offer 0.50% to 1.50% more than large banks. They carry the same DICGC insurance coverage (₹5 lakh per depositor):

• **Unity Small Finance Bank**: 8.50% – 9.00%
• **Utkarsh Small Finance Bank**: 8.00% – 8.25%
• **Suryoday Small Finance Bank**: 8.00% – 8.50%

NBFC and Corporate FDs

• **Bajaj Finance**: 7.95% – 8.25% (one of the highest among AAA-rated NBFCs)
• **Mahindra Finance**: 7.70% – 8.00%
• **Shriram Finance**: 8.00% – 8.50%

Note: NBFC FDs are not covered by DICGC insurance. Check the credit rating before investing. AAA-rated NBFCs like Bajaj Finance carry lower default risk.

Post Office Time Deposit Rates

Post Office TDs are backed by the Government of India and revised quarterly:

• 1-year: 6.90%
• 2-year: 7.00%
• 3-year: 7.10%
• 5-year: 7.50% (eligible for Section 80C deduction)

The 5-year Post Office TD at 7.50% is hard to beat for tax-saving purposes.

Rate Trends — Where Are Rates Heading?

RBI held the repo rate steady at 6.25% through early 2026 after a cut in February 2025. Most economists expect one more 25 bps cut later this year, which would push FD rates slightly lower. If you're planning a long-term FD, locking in current rates could work in your favor.

For context, FD rates bottomed out around 5.00% to 5.50% in 2021-22 during the post-COVID low-rate environment. The current rates of 7%+ represent a much healthier return for depositors.

How to Pick the Best FD

• Compare rates for your specific tenure — a bank offering the best 1-year rate may not lead at 3 years
• Factor in TDS — rates above ₹40,000 annual interest trigger TDS at 10%
• Check compounding frequency — quarterly compounding beats annual at the same rate
• Consider laddering across banks to diversify and optimize liquidity

Use our [FD Calculator](/) to compare how much you'll earn at different rates and tenures before making your decision.