Best Tax Saver Fixed Deposit Interest Rates for Senior Citizens and Others (May 2023): Investing up to Rs 1.5 lakh in a 5-year Tax Saver Fixed Deposit Scheme qualifies for deduction under Section 80C of the Income Tax Act. In recent months, many banks have hiked their interest rates for fixed deposits of different tenors. For senior citizens and others, who do not make any other tax-saving investments like SCSS, NSC, PPF, EPF or ELSS, tax-saver FD can be helpful.

As of today, most of the banks are offering around 7-8% interest on tax-saver fixed deposits of 5 years to senior citizens and 6.5-7.6% interest to general citizens. Suryoday Small Finance Bank is offering 9.6% interest on a five-year tax-saving FD to senior citizens, which is more than 2% higher than what is being offered by top banks like HDFC Bank and State Bank of India.

Banks that are offering over 8% interest on 5-year tax-saver Fixed Deposits to senior citizens include DCB Bank, Suryoday Small Finance Bank, Unity Small Finance Bank, Utkarsh Small Finance Bank and Fincare Small Finance Bank. Following are the interest rates offered by different banks on tax saver FD, according to Bank Bazaar.

Also Read: Fixed Deposit calculator: Senior Citizens can turn Rs 3 lakh into guaranteed Rs 4.8 lakh in 5 years

State Bank of India: It is offering 6.5% interest to general citizens and 7% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

Kotak Mahindra Bank: It is offering 6.2% interest to general citizens and 6.7% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

HDFC Bank: It is offering 7% interest to general citizens and 7.5% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

Punjab National Bank: It is offering 6.5% interest to general citizens and 7% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

IDFC Bank: It is offering 7% interest to general citizens and 7.5% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

Also Read: Fixed Deposit interest rate for senior citizens jumps again: How much should you invest in a bank?

Deutsche Bank: It is offering 7.5% interest to general citizens and 7.5% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

Axis Bank: It is offering 7% interest to general citizens and 7.75% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

DCB Bank: It is offering 7.6% interest to general citizens and 8.1% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

Bank of Baroda: It is offering 6.5% interest to general citizens and 7.15% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

RBL Bank: It is offering 7% interest to general citizens and 7.5% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

ICICI Bank: It is offering 7% interest to general citizens and 7.5% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

Tax Saver FD in Small Finance Banks

Suryoday Small Finance Bank FD: It is offering 9.1% interest to general citizens and 9.6% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

Ujjivan Small Finance Bank FD: It is offering 7.2% interest to general citizens and 7.95% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

ESAF Small Finance Bank FD: It is offering 6.25% interest to general citizens and 6.75% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

Unity Small Finance Bank FD: It is offering 7.65% interest to general citizens and 8.15% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

Also Read: Senior Citizen Fixed Deposit interest rate hiked to 9.6% by SSFB, 9.1% for others – check details 

Jana Small Finance Bank FD: It is offering 6% interest to general citizens and 6.7% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

Utkarsh Small Finance Bank FD: It is offering 7.5% interest to general citizens and 8.25% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

Fincare Small Finance Bank FD: It is offering 8% interest to general citizens and 8.6% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

AU Small Finance Bank FD: It is offering 7.2% interest to general citizens and 7.4% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

Capital Small Finance Bank FD: It is offering 7.1% interest to general citizens and 7.75% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

North East Small Finance Bank FD: It is offering 6.5% interest to general citizens and 7.25% interest to senior citizens on 5-year Tax-Saver Fixed Deposit.

(Disclaimer: The above content is for information purposes only. Bank Fixed Deposit rates are subject to change. Please consult your bank before opening the FD account for the latest interest rate)