Banks have started raising their fixed deposit rates for general customers and senior citizens both as they are trying to balance their own lending rates and deposit rates after the Reserve Bank kept the key interest rate unchanged for the eight straight time on June 7.  

The last around 18 months has been one of the best in many years for fixed deposit investors as they have been receiving competitive interest rates from banks. Experts are of the view that this might not be the end of the rate hike cycle at least for term deposits and financial institutions might further raise the rates to attract customers.

“This makes it a favourable time for depositors to lock in higher returns on their deposits,” according to Adhil Shetty, CEO of Bankbazaar.

Following banks have revised interest rates on their FD products across tenors. Let’s take a look.

Also read: Union Bank of India revises fixed deposit rates – Check new FD rates across tenors!

HDFC Bank fixed deposit rates

India’s largest bank in terms of market capitalisation, HDFC Bank has revised interest rates for term deposits below Rs 2 crore, effective June 10, 2024.

The bank will offer general customers interest rates of 3% to 7.25% on tenures ranging from 7 days to 10 years. Its highest rate is 7.25% on tenures of 18 months to less than 21 months for these customers.

For senior citizens, HDFC Bank is offering interest rates of 3.5% to 7.75% on tenures ranging from 7 days to 10 years. Its highest interest rate for senior citizens is 7.75% on tenure of 18 months to less than 21 months.

The bank’s fixed deposits maturing in 15 months to less than 18 months get a 7.10% interest rate for general customers and senior citizens get 50 bps additional.

RBL Bank fixed deposit rates

The private sector lender has revised its FD rates by a significant margin. General customers can now earn an interest rate of up to 8% on tenures ranging 18 months to 24 months. Senior citizens are offered 50 bps extra on FDs of these tenures, earning rates up to 8.50%; while super senior citizens (above 80 years of age) are offered 75 bps extra than what general customers are offered. RBL Bank has revised rates on deposits of less than Rs 2 crore, with effect from June 8, 2024.

The bank has also announced revising savings account interest rates, effective July 1, 2024.

Union Bank of India fixed deposit rates

The PSU bank is now offering rates up to 7.6% to general customers on FDs booked for a period of 1 year. The fixed deposit rates are applicable on bulk deposits of more than Rs 2 crore. The bank’s other FD tenures range from 7 days to up to 10 years. It offers senior citizens 0.5% additional interest and super senior citizens 0.75% extra.

On FD tenure of 399 days, the bank is offering 7.25% interest rate to general customers and 50 bps additional interest to senior citizens. Super senior citizens receive even better rates, i.e. 8% per annum.

SBI fixed deposit rates

Last month, State Bank of India revised interest rates for its FDs, including ‘Sarvottam’, for various tenures. With this revision, the interest rates of SBI FDs are ranging from 3.5% to 7.9% for tenures of up to 10 years. The new FD interest rates are effective from May 15, 2024, according to the SBI website.