List of Banks Offering Over 9% FD Interest Rates for Senior Citizens
Every senior citizen seeks to secure their savings with high returns while minimizing risks. Fixed Deposits (FDs) are a popular choice among senior citizens due to their dependable returns, liquidity options, and safety.
In India, certain Small Finance Banks (SFBs) continue to offer interest rates exceeding 9% to senior citizens on their FDs. These banks are not only committed to serving their customers but are also regulated by the Reserve Bank of India (RBI), ensuring financial security. Additionally, deposits opened with these small finance banks are safeguarded by the deposit insurance program, covering both the principal and interest amounts up to Rs 5 lakh. In this article, we will explore the best banks for senior citizens looking to invest in FDs with attractive interest rates.
Also Read: Which Small Savings Scheme offers Highest Interest Rate? (2023 Updated)
List of Banks Offering Over 9% FD Interest Rates for Senior Citizens:
Unity Small Finance Bank:
Unity Small Finance Bank stands out with a highly competitive interest rate of 9.50% for senior citizens on fixed deposits maturing in 1001 days. This bank ensures that your money grows steadily while offering a degree of flexibility. In case you need to withdraw your fixed deposit prematurely, Unity Small Finance Bank applies a 1.00% penalty on the applicable interest rate, based on the period the deposit has remained with the bank.
- Interest Rate: 9.50%
- Maturity Period: 1001 days
- Premature Withdrawal Penalty: 1.00%
Utkarsh Small Finance Bank:
Utkarsh Small Finance Bank offers senior citizens an attractive interest rate of 9.10% for fixed deposits maturing between two and three years. This bank provides a generous return on investment for those who wish to secure their savings with a fixed deposit. The penalty for premature withdrawal is 1%, with the exception of withdrawals within 7 days, where the penalty is not applicable.
- Interest Rate: 9.10%
- Maturity Period: 2-3 years
- Premature Withdrawal Penalty: 1% (not applicable for closure within 7 days)
Equitas Small Finance Bank:
Equitas Small Finance Bank provides senior citizens with the potential to earn up to 9% interest on their fixed deposits. While this bank offers a competitive interest rate, it’s essential to note that no interest is paid in the event of premature withdrawal before the minimum specified period has been completed.
- Interest Rate: Up to 9%
- Premature Withdrawal: No interest paid if withdrawn before minimum specified period completion.
Suryoday Small Finance Bank:
Suryoday Small Finance Bank offers an impressive 9.10% interest rate on fixed deposits maturing between two and three years. This bank understands the importance of financial security for senior citizens and is willing to reward their investment. In cases of premature withdrawal, interest will be paid for the period the deposit remained with the bank at the prevailing rate of interest on the date of booking, less a 1% penalty.
- Interest Rate: 9.10%
- Maturity Period: 2-3 years
- Premature Withdrawal Penalty: 1%
Fincare Small Finance Bank:
Fincare Small Finance Bank is a great choice for senior citizens looking to invest their money securely with an interest rate of 9.21% for fixed deposits maturing in 750 days. This bank ensures your savings grow steadily with competitive returns and minimal risk.
- Interest Rate: 9.21%
- Maturity Period: 750 days
Jana Small Finance Bank:
Jana Small Finance Bank offers senior citizens an interest rate of 9% on fixed deposits maturing in 1095 days. The bank understands the need for flexibility and charges a reasonable 0.5% penalty in case of premature withdrawal, applied to the applicable rate of interest for the duration the deposit is maintained with them.
- Interest Rate: 9%
- Maturity Period: 1095 days
- Premature Withdrawal Penalty: 0.5%
ESAF Small Finance Bank:
ESAF Small Finance Bank is committed to serving the financial needs of senior citizens and provides an attractive 9% interest rate on fixed deposits maturing between two and three years. It’s important to note that no interest will be paid if the deposit is closed within the minimum period prescribed for the product, which is 7 days for Domestic Deposits and 1 year for NRE Deposits. After this period, the interest will be paid at the prevailing Retail FD rate minus the applicable penalty.
- Interest Rate: 9%
- Maturity Period: 2-3 years
- Premature Withdrawal: No interest paid if closed within the minimum period prescribed (7 days for Domestic Deposits, 1 year for NRE Deposits)
Here’s a table summarizing the information for each of the banks offering over 9% fixed deposit interest rates for senior citizens:
| Bank Name | Interest Rate | Maturity Period | Premature Withdrawal Penalty |
|---|---|---|---|
| Unity Small Finance Bank | 9.50% | 1001 days | 1.00% on the applicable interest rate |
| Utkarsh Small Finance Bank | 9.10% | 2-3 years | 1% (not applicable for closure within 7 days) |
| Equitas Small Finance Bank | Up to 9% | N/A | No interest paid for the premature withdrawal |
| Suryoday Small Finance Bank | 9.10% | 2-3 years | 1% |
| Fincare Small Finance Bank | 9.21% | 750 days | N/A |
| Jana Small Finance Bank | 9% | 1095 days | 0.5% on the applicable rate of interest |
| ESAF Small Finance Bank | 9% | 2-3 years | No interest if closed within the minimum period |
