SBI, HDFC Bank Raise FD Interest Rates; What Small Finance Banks Pay

Fixed deposits or FDs are popular among small savers. As compared to market-linked instruments like stocks or bonds, FDs guarantee secure investment return over a period of time. Usually, new savers with low risk-appetite look for guaranteed return. Bank fixed deposits fit the bill in such cases perfectly. Key banks like State Bank of India or SBI and HDFC Bank have recently increased their FD interest rates. Small finance banks like Jana Small Finance Bank, Fincare Small Finance Bank and ESAF Small Finance Bank also offer competitive fixed deposit or FD interest rates.

Small finance banks cater to under penetrated areas of the country. This is not to say that they do not lend money and offer deposits to urban areas. In fact, the FD interest rates of small finance banks beat the ones offered by top banks like SBI and HDFC Bank.

SBI FD interest rate for a 1-year tenure is 6.70 per cent. HDFC Bank interest rates on FDs of a 1-year tenure are 7.75 per cent. However, on a one-year FD, Jana Small Finance Bank pays 8 per cent interest rate, Fincare Small Finance Bank pays 8 per cent and ESAF Small Finance Bank 8.75 per cent.

Many banks have raised their fixed deposit or FD interest rates recently.

NDTV compares fixed deposit or FD interest rates of SBI, HDFC Bank, Jana Small Finance Bank, Fincare Small Finance Bank, and ESAF Small Finance Bank. The following FD interest rates may help you decide which bank is best for fixed deposit:

Fixed deposit interest rates in SBI
SBI revised its interest rates on retail fixed deposits with effect from August 30, stated sbi.co.in. The following FD interest rates are for deposits below Rs 1 crore:

(All figures in % per annum)

HDFC Bank fixed deposit interest rates

Given below are the latest FD interest rates paid by HDFC Bank on various maturities:

The following HDFC Bank FD interest rates are applicable from August 6, 2018 for deposits below Rs 1 crore (from hdfcbank.com):

Fixed deposit or FD interest rates of Jana Small Finance Bank

The following FD interest rates of Jana SFB are effective from 18/07/2018 (subject to change from time to time), according to janabank.com:

FD interest rates of Fincare Small Finance Bank

The following FD interest rates are from fincarebank.com:

FD interest rates of ESAF Small Finance Bank

The following FD interest rates are from esafbank.com:

The post office fixed deposit scheme offers interest rates from 6.6 per cent to 7.4 per cent.