Senior citizen FD rates: Know how much ₹10.5L grows in SBI, PNB & HDFC in 5 years

Fixed deposits, or FDs, are still a popular choice for most seniors who are looking for safety combined with assured returns. The majority of banks make the offer sweeter with better interest rates for this age group alone, but the actual benefit still depends on the duration that money is kept locked up and the bank selected. Below, we present the latest FD rates and indicate how much a person investing ₹10,50,000 would get back in one year, three years, and five years at some of the best lenders.

Current senior citizen FD rates bank-wise

• State Bank of India (SBI)

•   1-year FD: 6.75
•   3-year FD: 6.80
•   5-year FD: 7.05

• Punjab National Bank (PNB)

•   1-year FD: 6.90
• 3-year FD: 6.90
•   5-year FD: 7.00

• ICICI Bank

•   1-year FD: 6.75
•   3-year FD: 7.10
•   5-year FD: 7.10

• HDFC Bank

•   1-year FD: 6.75
•   3-year FD: 6.95
•   5-year FD: 6.90

Maturity values for ₹10,50,000 FD (Senior citizen rates)

SBI

• 1 year: ₹11,22,689
•   3-year: ₹12,85,407
•   5-year: ₹14,89,171

PNB

• 1-year: ₹11,24,346
•   3-year: ₹12,89,204
•   5-year: ₹14,85,517

• ICICI Bank

• 1 year: ₹11,22,689
•   3-year: ₹12,96,828
•   5-year: ₹14,92,834

• HDFC Bank

• 1 year: ₹11,22,689
•   3-year: ₹12,91,106
•   5-year: ₹14,78,257

Key points for senior citizens

• All major banks pay lower interest rates to senior citizens in comparison to normal FDs.
• The longer the term, the greater the interest rate and maturity value, although certain banks provide special high rates for certain terms.
• For an investment of ₹10,50,000, the maturity value after five years varies from approximately ₹14.78 lakh to almost ₹14.93 lakh, depending upon the bank.
• FDs at scheduled banks are insured up to ₹5 lakh per depositor, adding an extra security.
• Interest on FDs is taxed, and TDS is applied if the interest earned in a year is more than ₹50,000 for senior citizens.

Senior citizen FDs continue to be a safe and lucrative investment, with some of the highest rates being offered by banks such as ICICI Bank and PNB for specific tenures. Compare rates, look out for special plans, and review your goals before investing. Consider.