Highest Interest Rate on Bank Fixed Deposits (FD) – October 2018

The post lists down the rate of interest on Bank fixed deposits as of October 1, 2018.

You might want to bookmark this page as the FD interest rates would be updated every month. Would help you in better decision making.

Fixed Deposit Highlights:

The good news is IDFC Bank, Union Bank of India and some smaller banks have raised their fixed deposit interest rates substantially in last 1-2 months.

  • Most banks offer FDs for tenure of 7 Days to 10 Years.
  • The Ratnakar Bank & IDBI Bank do offer fixed deposits up to 20 years too.
  • For very short Term Deposits the interest rate is similar to that of Savings Account and so you should not worry about FD. Also Interest up to Rs 10,000 in Saving Account is Tax free.
  • Most banks compound interest quarterly
  • Banks offer Loan/Overdraft against the amount available in Fixed Deposit. The interest is generally 0.5% to 1% more than that offered to FD.
  • TDS (Tax deduction at source) at the rate of 10% is deducted, if the interest income is more than Rs 10,000 in financial year per bank
  • In case of Senior citizens TDS would be deducted at the rate fo 10%, if the interest income exceeds Rs 50,000
  • There might be penalty for pre-mature withdrawal of Fixed Deposits

Also Read: How SWP in Debt Funds generate higher returns than FD

Fixed Deposit Interest Rates:

The highest interest rate on fixed deposit is offered by Deutsche Bank (5 Years) and IDFC Bank (3 years 1 Day – 10 years) at 8.25%.

For comparing the best interest rates on fixed deposits over different duration of investment, we have it divided into following 5 slabs:

  • FD for Less than 1 Year
  • FD for 1 to 2 years
  • FD for 2 to 5 Years
  • FD for 5 to 10 years
  • FD for More than 10 years

Also Read: 7 High Rated Companies Offering more than Bank Fixed Deposits

We show the highest interest rates on fixed deposits for the above duration buckets. We have also compared the best interest rates on offer by that being offered by State Bank of India (SBI), ICICI Bank and Post Offices.

Click for Best Tax Saving FDs u/s 80C

Interest Rate for FD of Less than 1 Year:

The highest interest rate is offered by Lakshmi Vilas Bank (181 days to 364 days) at 7.30% .

BankDescriptionInterest Rate
Lakshmi Vilas Bank181 – 364 days7.30%
Kotak Mahindra Bank270 Days to 364 Days7.25%
Ratnakar Bank241 days to 364 days7.25%
Ratnakar Bank91 days to 240 days7.15%
Kotak Mahindra Bank180 Days to 269 Days7.10%
Axis Bank9 months < 1 Year7.00%
City Union Bank181 days to 364 days7.00%
DCB Bank6 months to less than 12 months7.00%
HDFC Bank9 mnths 1 day < 1 Year7.00%
IDFC Bank181 – 365 days7.00%
Indus Ind Bank270 days to below 1 years7.00%
Ratnakar Bank46 days to 90 days7.00%
Repco Bank90 days – 364 days7.00%
Standard Charted Bank181-210 days7.00%
Yes Bank46 to 90 days7.00%
Karur Vysya Bank91 Days to 180 Days6.90%
South Indian Bank92 days to 499 days6.90%
Yes Bank3 months to < 6 months6.90%
Bandhan Bank6 months to less than 1 year6.80%
City Union Bank91 days to 180 days6.75%
DCB Bank91 days to less than 6 months6.75%
IDFC Bank91 – 180 days6.75%
Karur Vysya Bank181 Days to less than 1 year6.75%
Tamilnad Mercantile Bank180 days to less than 12 months6.75%
Union Bank of India10 Month to 14 Month6.75%
Standard Charted Bank211 – 364 days6.70%
Yes Bank6 months to < 1 Year6.70%
State Bank of IndiaGovernment Bank Benchmark5.75% – 6.40%
ICICI BankPrivate Bank Benchmark4.00% – 6.75%


Also Read:
 21 Hidden Charges in Saving Bank Account

Interest Rate for Fixed Deposit of 1 – 2 Years:

The highest interest rate is offered by IDFC Bank (731 – 1095 days) at 8.00%.

BankDescriptionInterest Rate
IDFC Bank731 – 1095 days8.00%
Repco BankRepco Mahila (18 Months, Exclusively for Women)7.80%
Deutsche Bank1 Year to lass than 2 Years7.75%
Ratnakar Bank12 months to less than 24 months7.75%
Repco Bank1 Year & Above – 2 years7.70%
Indus Ind Bank1 Years to below 1 Years 2 Months7.65%
DCB Bank15 months to 24 months7.50%
IDFC Bank366 – 730 days7.50%
Kotak Mahindra Bank390 Days – Less than 2 Years7.50%
Lakshmi Vilas Bank12 Months to 120 Months7.50%
Yes Bank18 Months 8 Days to 18 Months 18 Days7.50%
Bandhan BankAbove 18 months to less than 2 years7.40%
DCB Bank12 months 1 day to less than 15 months7.40%
Indus Ind Bank1 Years 2 Months to below 2 Years7.40%
Karnataka Bank1 year to 2 years7.40%
Kotak Mahindra Bank365 Days to 389 Days7.40%
South Indian Bank500 Days7.40%
Tamilnad Mercantile Bank1 Year7.40%
Yes Bank12 Months 10 Days to 12 Months 20 Days7.40%
City Union Bank365 days – 5 Years7.35%
Axis Bank13 months < 14 months7.30%
Federal BankAbove 1 year to 15 Months7.30%
Standard Charted Bank18 Months – 2 Years7.30%
Axis Bank1 year < 5 years7.25%
Bandhan Bank1 year to 18 months7.25%
HDFC Bank1 year – 2 Years7.25%
Kotak Mahindra Bank2 years- less than 3 years7.25%
Standard Charted Bank1 Year – 375 days7.25%
Canara Bank555 Days (Canara Shikhar Deposit)7.10%
South Indian Bank501 days to upto and incl. 3 years7.10%
Yes Bank1 Year <= 10 years7.10%
Canara Bank444 Days (Canara Shikhar Deposit)7.05%
Canara BankAbove 1 year to less than 2 years7.00%
Citibank401 – 540 Days7.00%
DCB Bank6 months to 12 months7.00%
Digibank by DBS1 year to less than 5 Years7.00%
Federal BankAbove 15 months7.00%
J&K Bank1 year to less than 3 years7.00%
Karur Vysya Bank1 years and above7.00%
Tamilnad Mercantile Bank1 Year to less than 3 Years7.00%
South Indian Bank92 days to 499 days6.90%
Federal Bank1 year6.85%
Corporation Bank666 days only6.80%
Syndicate Bank500 days exact (Synd500)6.80%
Punjab and Sind Bank1 Year – 2 Years6.75%
Punjab National Bank1 Year – 3 Years6.75%
Union Bank of India10 Month to 14 Month6.75%
State Bank of IndiaGovernment Bank Benchmark6.70%
ICICI BankPrivate Bank Benchmark6.75% – 7.00%
Post Office FD (1 year)Post Office6.90%
Post Office FD (2 years)Post Office7.00%

Click for Best Interest Rate on Recurring Deposits

Interest Rate for Fixed Deposit of 2 – 5 Years

The highest interest rate is offered by Deutsche Bank (5 Years) and IDFC Bank (3 years 1 Day – 10 years) at 8.25%

BankDescriptionInterest Rate
Deutsche Bank5 Years8.25%
IDFC Bank3 years 1 Day – 10 years8.25%
IDFC Bank731 – 1095 days8.00%
DCB Bank36 months to 60 months7.75%
Ratnakar Bank24 months to less than 36 months7.75%
Tamilnad Mercantile Bank1111 Days7.65%
City Union Bank1000 Days7.60%
DCB Bank24 months to 36 months7.60%
Citibank732 – 1095 Days7.50%
Deutsche Bank2 Year to lass than 5 Years7.50%
Digibank by DBS2 years & 6 months7.50%
Lakshmi Vilas Bank12 Months to 120 Months7.50%
Ratnakar Bank36 months to less than 120 months7.50%
Bandhan Bank2 years to less than 5 years7.40%
City Union Bank365 days – 5 Years7.35%
Axis Bank1 year < 5 years7.25%
Indus Ind Bank2 years to below 3 years7.25%
Kotak Mahindra Bank2 years- less than 3 years7.25%
Yes Bank36 Months 10 Days to 36 Months 20 Days7.25%
HDFC Bank2 years – 5 Years7.10%
Kotak Mahindra Bank3 years and above but less than 4 years7.10%
South Indian Bank501 days to upto and incl. 3 years7.10%
South Indian BankAbove 3 years to up to and incl.5 years7.10%
Yes Bank1 Year <= 10 years7.10%
Digibank by DBS1 year to less than 5 Years7.00%
Federal BankAbove 15 months7.00%
Indus Ind Bank3 years to below 61 month7.00%
J&K Bank1 year to less than 3 years7.00%
Karur Vysya Bank1 years and above7.00%
Kotak Mahindra Bank4 years and above but less than 5 years7.00%
Repco BankAbove 2 years – 5 Years7.00%
Standard Charted Bank2 Years – 3 Years7.00%
Tamilnad Mercantile Bank1 Year to less than 3 Years7.00%
Tamilnad Mercantile Bank3 Years & above6.90%
Indian Overseas Bank3 Yrs and above6.80%
State Bank of IndiaGovernment Bank Benchmark6.75% – 6.80%
ICICI BankPrivate Bank Benchmark7.25%
Post Office FD (2 years)Post Office7.00%
Post Office FD (3 years)Post Office7.20%
Post Office FD (5 years)Post Office7.80%


Also Read:
 Where to Park Money for Very Short Term [less than 6 Months]?

Interest Rate for Fixed Deposit of 5 – 10 Years

The highest interest rate is offered by IDFC Bank (3 years 1 Day – 10 years) at 8.25%.

BankDescriptionInterest Rate
IDFC Bank3 years 1 Day – 10 years8.25%
Digibank by DBS5 Years7.50%
Lakshmi Vilas Bank12 Months to 120 Months7.50%
Ratnakar Bank36 months to less than 120 months7.50%
Axis Bank5 years to 10 years7.25%
DCB BankMore than 60 months to 120 months7.25%
Yes Bank1 Year <= 10 years7.10%
Catholic Syrian Bank7 Years to and including 10 Years7.00%
Federal BankAbove 15 months7.00%
Indus Ind Bank3 years to below 61 month7.00%
Karur Vysya Bank1 years and above7.00%
Tamilnad Mercantile Bank3 Years & above6.90%
State Bank of IndiaGovernment Bank Benchmark6.85%
ICICI BankPrivate Bank Benchmark7.00%

Also Read: How to fill Form 15G/H to avoid TDS deduction?

Interest Rate for Fixed Deposit of more than 10 Years

The Ratnakar Bank and IDBI bank offers fixed deposit of up to 20 years.

BankDescriptionInterest Rate
Ratnakar Bank121 months to less than 240 months7.20%
IDBI Bank10 Years to 20 Years6.00%


Source:
Bank Websites                                          Last Updated: October 1, 2018

Disclaimer: The Fixed Deposit Interest Rates keep on changing. You are advised to check the interest rates with banks before making your FD.

Also Read:13 Investments to Generate Regular Income

Highest Interest Rate on Bank Fixed Deposits - October 2018

Highest Interest Rate on Bank Fixed Deposits – October 2018

Small Banks Fixed Deposit Interest Rates:

The table below compares the interest rate offered by Small banks to that of SBI. The difference is substantial for low tenure deposits. Fincare Bank (24 months 1 day to 36 months), Suryoday Small Finance Bank (950 Days) & Utkarsh Small Finance Bank (456 Days to less than 2 years) offers 9%  while SBI (for 24 to 36 months deposit) offers 6.8% only.

Banks<1 year1 Year2 Years3 Years4 Years5 Years5 Year+
AU Small Finance Bank7.00%7.75%8.00%7.75%8.00%8.00%7.25%
Capital Small Finance Bank7.00%7.50%7.60%7.70%7.50%7.50%7.40%
Equitas Small Finance Bank7.50%8.00%7.75%7.75%7.00%7.00%7.00%
ESAF Small Finance Bank7.50%8.75%8.75%8.00%7.00%7.00%7.00%
Fincare Small Finance Bank7.00%8.00%8.75%9.00%8.00%8.00%7.00%
Jana Small Finance Bank8.00%8.25%8.50%8.50%8.00%8.00%7.00%
Suryoday Small Finance Bank7.75%8.50%8.75%9.00%8.00%8.00%7.25%
Ujjivan Small Finance Bank7.50%8.00%8.25%8.50%7.00%7.00%6.50%
Utkarsh Small Finance Bank7.50%8.50%9.00%7.85%7.00%8.00%7.00%
SBI6.40%6.70%6.75%6.80%6.80%6.85%6.85%

                                                                                                        Updated: October 1, 2018

Also Read: Should you invest in Small banks Fixed Deposits?

Fixed Deposit Interest Rate across all Banks

Earlier we used to provide only the top Fixed Deposit Rates but with several request from readers we have added a summary of FD rates for all banks.

Banks1 Years2 Years3 Years4 Years5 Years5+ Years
Allahabad Bank6.65%6.50%6.50%6.50%6.50%6.50%
Andhra Bank6.80%6.80%6.75%6.75%6.75%6.50%
Axis Bank7.25%7.25%7.25%7.25%7.25%7.00%
Bandhan Bank7.25%7.40%7.40%7.40%6.40%6.40%
Bank of Baroda6.75%6.60%6.70%6.70%6.70%6.60%
Bank of India6.65%6.70%6.50%6.50%6.50%6.50%
Bank of Maharashtra6.50%6.60%6.60%6.50%6.50%6.50%
Canara Bank7.00%7.00%6.20%6.20%6.20%6.20%
Catholic Syrian Bank6.50%6.50%6.75%6.50%6.50%6.50%
Central Bank of India6.60%6.50%6.50%6.50%6.50%6.50%
Citibank6.25%7.25%7.50%6.00%6.00%6.00%
City Union Bank7.35%7.35%7.60%7.35%7.35%6.70%
Corporation Bank6.60%6.80%6.50%6.50%6.50%6.50%
DCB Bank7.40%7.50%7.75%7.75%7.75%7.25%
Dena Bank6.65%6.75%6.60%6.25%6.30%6.30%
Deutsche Bank7.75%7.75%7.50%7.50%8.25%NA
Dhanalakshmi Bank6.70%6.70%6.50%6.50%6.50%6.50%
Digibank by DBS7.00%7.00%7.50%7.00%7.50%NA
Federal Bank6.85%7.30%7.00%7.00%7.00%7.00%
HDFC Bank7.25%7.25%7.10%7.10%7.10%6.00%
ICICI Bank6.75%7.25%7.25%7.25%7.25%7.00%
IDBI Bank6.85%6.75%6.75%6.75%6.75%6.25%
IDFC Bank7.50%8.00%8.25%8.25%8.25%8.25%
Indian Bank6.75%6.60%6.50%6.00%6.00%6.00%
Indian Overseas Bank6.60%6.75%6.80%6.80%6.80%6.80%
Indus Ind Bank7.65%7.40%7.25%7.00%7.00%6.75%
J&K Bank7.00%7.00%7.00%6.25%6.25%6.25%
Karnataka Bank7.40%7.40%6.50%6.50%6.50%6.50%
Karur Vysya Bank7.00%7.00%7.00%7.00%7.00%7.00%
Kotak Mahindra Bank7.40%7.50%7.25%7.10%7.00%6.50%
Lakshmi Vilas Bank7.50%7.50%7.50%7.50%7.50%7.50%
Oriental Bank of Commerce6.75%6.75%6.75%6.70%6.75%6.75%
Post Office Time Deposit6.90%7.00%7.20%NA7.80%NA
Punjab and Sind Bank6.75%6.75%6.60%6.55%6.55%6.55%
Punjab National Bank6.75%6.75%6.75%6.25%6.25%6.25%
Ratnakar Bank7.75%7.75%7.50%7.50%7.50%7.50%
Repco Bank7.70%7.70%7.00%7.00%7.00%NA
South Indian Bank6.90%7.40%7.10%7.00%7.00%6.50%
Standard Charted Bank7.25%7.30%7.00%6.50%6.50%NA
State Bank of India6.70%6.75%6.80%6.80%6.85%6.85%
Syndicate Bank6.70%6.80%6.60%6.60%6.60%6.50%
Tamilnad Mercantile Bank7.40%7.00%7.65%6.90%6.90%6.90%
UCO Bank6.70%6.75%6.75%6.75%6.75%6.75%
Union Bank of India6.75%6.70%6.85%6.85%6.85%6.85%
United Bank of India6.25%6.00%6.00%6.00%6.00%6.00%
Vijaya Bank6.80%6.80%6.80%6.80%6.80%6.80%
Yes Bank7.10%7.10%7.10%7.10%7.10%7.10%

Helpful Posts on FD:

It would be helpful for you to look at following posts before you choose your fixed deposits:

  1. How to increase bank deposit insurance through Joint accounts?
  2. How Safe is Your Fixed Deposit in Bank?
  3. How you loose Money in Fixed Deposits?



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234 thoughts on “Highest Interest Rate on Bank Fixed Deposits (FD) – October 2018

  1. Is our principal money safe in fd in ujjivan small finance bank,

  2. please include small finance banks & payments banks as a separate comparison

  3. Dear Amit,

    We appreciate your valuable support to update the Bank Interest rate according to latest changes of 05 Feb 2018.

    Regards,
    Mohit

  4. As search on online i found Bajaj Finance offering highest interest rate on fixed deposit in comparison of Banks that is true? if Yes so it is save for investment?

  5. Is IDFC bank safe for fixed deposit?

  6. Is it safe to have Fixed Deposit in Standard Chartered Bank?

  7. Are u sure the FD interest rates here are for real ??? For example, the Standard Chartered Bank only offers 1.3%/pa for amount >S$100,000 for one yr. How come & not >7% as stated in the abv table ???

  8. chandan kumar Mitra says:

    Hi sir myself chandan mitra, i want to know if i get interest more than 10000 per financial year in FD, so what to do save my money from TDS deduction? and suggest invest plan to get 1000000 in 15 years may be invest in lumsum or SIP which would be more safer. kindly help thanks.

  9. Is it safe to have fd in PMC bank

  10. Ujjivan small finance bank has give u the 8% interest rates and for senior citizen 8.5% if u have interred plz contact me

    regards
    Madhu
    9480543700

  11. Hello, are mutual fund safe n secure to invest? What will happen to my capital if market false

  12. Pankaj Bhujade says:

    Dear sir,
    I want to take loan and also want to invest money in FD SO
    Tell me about loan against FD is better option or Home loan is better considering interest rates.

  13. Dear Amit ,
    i am plan for rs 1000000 inwest in fd and save tex.any other option aveleble to ern profit in safe garrented mode of inwest,please sajes me.

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