Bank FD Interest Rates: SBI Vs HDFC Bank Vs Kotak Bank Vs ICICI Bank Vs Others

By: |
Updated: August 2, 2018 11:12:39 AM

As SBI has revised its FD rates again, we take a look at how their fixed deposit interest rates compare with those of other banks, including HDFC Bank and ICICI Bank.

FD interest rates, Bank FD Interest Rates, latest FD rates, SBI FD rates, hdfc fd rates, icici fd rates, kotak fd rates, fixed deposits, fixed deposit in SBI, fixed deposit in hdfc bank, Bank FD Interest Rates: Post the RBI rate hike in June, it was expected that banks would revise their deposit rates, making FDs attractive for consumers.

The State Bank of India, India’s largest bank, hiked the rates of both its retail and bulk term deposits on Monday, ahead of the RBI’s bi-monthly monetary policy review. The term deposit or FD rates were revised across various tenures for both general public and senior citizens.

With the latest revision in rates, fixed deposits (below Rs 1 crore) of 1 year to less than 2 years will now fetch 6.70 per cent interest compared to 6.65 per cent before, while fixed deposits of 2 to less than 3 years will earn 6.75 per cent interest as against 6.65 per cent earlier. Likewise, while retail term deposits or fixed deposits of 3 years to less than 5 years will now fetch 6.80 per cent interest as against 6.70 per cent before, the FDs of 5 years and up to 10 years will earn 6.85 per cent interest compared to 6.75 per cent earlier.

For senior citizens, while the FDs of 1 year to less than 2 years will fetch 7.20% interest as against 7.15% earlier, fixed deposits of 5 years and up to 10 years will earn 7.35% interest as against 7.25% before.

However, it is not for the first time this year that the FD rates have been raised. Banks, including SBI and HDFC Bank, have been raising their rates for the last couple of months.

Industry experts say that post the RBI rate hike in June, it was expected that banks would revise their deposit rates, making FDs attractive for consumers. However, while FDs are suitable for risk-averse investors, they are not tax-efficient. Therefore, one should look for some other saving and investment avenues also.

“Those looking to opt for parking their money temporarily without any risk while earning moderate returns add fixed deposits to their portfolio. However, FDs are not tax-efficient at all. Your FD interest income is clubbed with your income and taxed as per your slab. Therefore, one can also explore liquid mutual funds which have returns comparable to FDs, but are more tax-efficient if held for three years or longer due to the availability of indexation benefit on long-term capital gains, where you’re taxed only 20.6% with indexation if the investment is for three years or older,” says Adhil Shetty, CEO, Bankbazaar.com.

Revised Interest Rates of SBI’s Retail Domestic Term Deposits (Below Rs 1 Crore):

BANK FD INTEREST RATES:

Bank<1 YearYearsW.E.F
>=1 to <=2 2 to <=33 to <=5
FOREIGN
Citi Bank6.2576627-Jul-18
DBS Bank6.177.57.57-Jul-18
Deutsche Bank6.57.757.758.2524-Jul-18
HSBC66.25757-Jun-18
Scotia Bank44.54.551-Apr-17
StanChart77.476.527-Jul-18
      
INDIAN- PUBLIC SECTOR
      
Allahabad Bank6.56.66.56.527-Feb-18
Andhra Bank6.256.66.56.57-May-18
Bank of Mah66.56.667-May-18
BOB6.356.76.66.714-Jun-18
BOI6.256.66.656.411-Jun-18
Canara Bank6.3576.26.228-May-18
CBOI6.56.66.56.526-Apr-17
Corp Bank6.356.86.56.524-Jul-18
Dena Bank6.256.76.66.34-Jun-18
IDBI Bank6.56.756.76.7518-Jun-18
Indian Bank6.256.66.25611-Jun-18
IOB6.256.66.756.85-Apr-18
OBC6.56.756.756.7519-Jun-18
PNB6.356.756.756.251-Mar-18
Punjab & Sind6.46.756.66.5519-Mar-18
Syndicate Bank6.356.86.66.611-Jul-18
UCO Bank6.356.66.66.610-Jun-18
Union Bank6.756.756.76.7525-Jul-18
United Bank66.25665-Jul-18
Vijaya Bank6.57.16.756.756-Jul-18
      
INDIAN- PRIVATE SECTOR
      
Axis Bank6.57.17710-Jul-18
Bandhan Bank6.87.47.47.44-Jun-18
Catholic Syrian6.256.56.756.520-Jul-18
CUB77.17.17.19-Feb-18
DCB77.257.37.7525-May-18
Dhanlaxmi Bank66.66.56.531-Aug-17
Federal Bank6.57.37714-Jun-18
HDFC Bank6.47776-Jul-18
ICICI Bank6.56.75777-Jun-18
IDFC Bank77.588.253-Jul-18
IndusInd Bank77.657.257.251-Jun-18
J & K Bank6.25776.2511-May-18
Karnataka Bank6.57.36.56.527-Jul-18
Kotak Bank77.37726-Jul-18
KVB6.97777-Jul-18
LVB77.57.57.512-Jun-18
RBL Bank7.257.757.57.518-Jun-18
SIB6.857.47721-Jun-18
TMB77.1576.91-Jul-18
TNSC Bank6.656.86.56.514-Mar-18
Yes Bank77.17.17.15-Jun-18
     

(Source: Bankbazaar.com)

# Data taken from respective bank’s website as on 27 July 2018

# For each year range, maximum offered interest rate is considered; Interest Rate for normal fixed deposit amount below Rs 1 Cr

Get live Stock Prices from BSE and NSE and latest NAV, portfolio of Mutual Funds, calculate your tax by Income Tax Calculator, know market’s Top Gainers, Top Losers & Best Equity Funds. Like us on Facebook and follow us on Twitter.

Next Stories
1Landmark judgment! Interpret tax ambiguity benefit in favour of revenue, says Supreme Court
2Borrowings: How to get a loan against property
3Investment in NPS less volatile than mutual funds – Here is why