Investing in a sound and non-volatile financial tool is one of the best ways of safe and riskless investments. There are many financial tools available in the market which doesn’t get affected by the market's ups and downs. One such tool is fixed deposits.
Fixed-term deposits, also known as term deposits, offer investors the opportunity to securely store their savings for a specified period of time at a predetermined interest rate set by banks. These deposits provide a safe and reliable investment option for individuals looking to earn a higher return on their savings compared to traditional savings accounts.
One of the key advantages of fixed-term deposits is the flexibility they offer in terms of being able to access your funds in case of emergencies. Unlike other investment tools, fixed-term deposits can easily be dissolved, allowing investors to withdraw their money if the need arises. While the interest rates offered by banks and financial institutions may vary, they typically exceed the interest rates offered on savings accounts, making fixed-term deposits a popular choice for those looking to grow their wealth over time. Overall, fixed-term deposits provide a convenient and secure way for investors to earn a steady return on their savings while still maintaining the ability to access their funds when needed.
Banks time to time revise the FD rates for different tenures. In the month of May, many banks, such as Yes Bank, State Bank of India, IDFC First Bank, and others, revised their rates.
Here's the list of revised rates for bank FDs.
1. Yes Bank
Yes Bank on Thursday (May 30) revised the fixed deposit (FD) interest rates by up to 25 basis points (bps) for some of its schemes under Rs 2 crore. The new rates are applicable from May 30, 2024. After the recent revision, interest rates for regular citizens now range from 3.25% to 8%. Senior citizens can avail rates between 3.75% and 8.50%. The highest rates of 8% and 8.50% are offered for an 18-month tenure. These competitive rates aim to benefit a wide range of customers.
Here are the tenures for which Yes Bank is paying more than 8% interest.
General customers
> 18 months: 8.00%
Senior citizens
> 1 year 1 day to
> 18 months: 8.50%
> 18 months 1day to
> 36 months to
> 60 months: 8.00%
2. DCB Bank
DCB Bank revised its fixed deposit rates earlier this month for schemes below Rs 2 crore). The new rates are effective May 22, 2024, the DCB Bank website noted.
General customers
19 months to 20 months: 8.05%
Senior citizens
12 months 1 day to 12 months 10 days: 8.25% 19 months to 20 months: 8.55% 700 days to 26 months: 8.00% Above 26 months to less than 37 months: 8.05% 37 months to 38 months: 8.25%
3. IDFC FIRST Bank FD interest rates
Earlier this month, IDFC FIRST Bank revised its fixed deposit interest rates on amounts less than Rs 2 crore. The new FD interest rates are applicable from May 15, 2024. The fixed deposit rates for general customers range between 3% and 7.9%.
For senior citizens, the bank is offering 8% and more than 8% for a couple of schemes.
1 year 1 day – 499 days: 8.00% 500 days: 8.40% 501 days – 548 days: 8.00% 549 days – 2 years: 8.25%
4. Utkarsh Small Finance Bank
Utkarsh Small Finance Bank revised its fixed deposit interest rates for amounts below Rs 2 crore. The rates were implemented from May 1, 2024. Fixed deposit interest rates at Utkarsh Small Finance Bank are competitive and versatile, with terms ranging from two weeks to ten years. Senior citizens receive an extra 0.50 percent interest rate.
General customers
365 days to 699 days: 8.00%
700 Days to less than 2 Years: 8.25%
2 Years upto 3 Years: 8.50%
Above 3 Years to less than 4 Years: 8.25%
Senior citizens
365 days to 699 days: 8.60%
700 Days to less than 2 Years: 8.85%
2 Years upto 3 Years: 9.10%
Above 3 Years to less than 4 Years: 8.85%
4 Years upto 5 Years: 8.10%
5. RBL Bank
In the month of May, RBL Bank has readjusted its FD interest rates for amounts below Rs 2 crore> The rates got effective from May 1, 2024.
General investors can get 3.5% to 8% interest rates on different FD schemes. They can earn 8% interest on FDs maturing in 18-24 months. Seniors get an extra 0.50%, super seniors (80 years and above) receive 0.75% more, totaling 8.50% and 8.75% interest rates.
General customers 546 days to 24 months (18 months to 24 months): 8.00%
Senior citizens
365 days to 452 days (12 months to less than 15 months): 8.00% 453 days to 545 days (15 months to less than 18 months): 8.30% 546 days to 24 months (18 months to 24 months): 8.50% 24 months 1 day to 36 months: 8.00%