Best FD Rates — September 2026
Compare fixed deposit interest rates across 15 banks — Public, Private & Small Finance Banks
Quick Summary
- A Fixed Deposit (FD) locks a lump sum with a bank for a fixed tenure at a fixed interest rate — the safest common savings option, with returns guaranteed regardless of market movement.
- This page compares FD rates across 15 banks — Public Sector, Private and Small Finance Banks — for tenures from 7 days to 5 years.
- Small Finance Banks generally offer higher rates than large private/public banks, in exchange for slightly higher (though still DICGC-insured up to ₹5 lakh) risk.
- Senior citizens typically get an extra 0.5% on top of the rates shown here.
Banks Tracked
15
Best 1 Year Rate
7.25%
Average Rate
6.53%
Rates Verified
25 Sep 2026
FD Rates — 1 Year Tenure (sorted by highest rate)
+0.5% extra for Senior Citizens (60+)
| Bank | Type | 1 Year Rate | Senior Citizen | ₹1L for 1 Year | vs SBI |
|---|---|---|---|---|---|
|
US
Ujjivan Small Finance 🏆 Best Rate |
Small Finance |
7.25% |
8.0% |
₹7,450 interest Maturity: ₹107,450 |
+1.0% |
|
AS
AU Small Finance |
Small Finance |
7.1% |
7.6% |
₹7,291 interest Maturity: ₹107,291 |
+0.85% |
|
IF
IDFC First Bank |
Private |
7.0% |
7.5% |
₹7,186 interest Maturity: ₹107,186 |
+0.75% |
|
BB
Bandhan Bank |
Small Finance |
7.0% |
7.5% |
₹7,186 interest Maturity: ₹107,186 |
+0.75% |
|
IB
IndusInd Bank |
Private |
6.75% |
7.25% |
₹6,923 interest Maturity: ₹106,923 |
+0.5% |
|
YB
Yes Bank |
Private |
6.65% |
7.15% |
₹6,818 interest Maturity: ₹106,818 |
+0.4% |
|
KM
Kotak Mahindra Bank |
Private |
6.35% |
6.85% |
₹6,503 interest Maturity: ₹106,503 |
+0.1% |
|
S
SBI |
Public Sector |
6.25% |
6.75% |
₹6,398 interest Maturity: ₹106,398 |
Benchmark |
|
HB
HDFC Bank |
Private |
6.25% |
6.75% |
₹6,398 interest Maturity: ₹106,398 |
0.0% |
|
IB
ICICI Bank |
Private |
6.25% |
6.75% |
₹6,398 interest Maturity: ₹106,398 |
0.0% |
|
AB
Axis Bank |
Private |
6.25% |
6.75% |
₹6,398 interest Maturity: ₹106,398 |
0.0% |
|
BO
Bank of Baroda |
Public Sector |
6.25% |
6.75% |
₹6,398 interest Maturity: ₹106,398 |
0.0% |
|
CB
Canara Bank |
Public Sector |
6.25% |
6.75% |
₹6,398 interest Maturity: ₹106,398 |
0.0% |
|
FB
Federal Bank |
Private |
6.25% |
6.75% |
₹6,398 interest Maturity: ₹106,398 |
0.0% |
|
P
PNB |
Public Sector |
6.1% |
6.6% |
₹6,241 interest Maturity: ₹106,241 |
-0.15% |
Ujjivan Small Finance
Small Finance
7.25%
Sr: 8.0%
AU Small Finance
Small Finance
7.1%
Sr: 7.6%
IDFC First Bank
Private
7.0%
Sr: 7.5%
Bandhan Bank
Small Finance
7.0%
Sr: 7.5%
IndusInd Bank
Private
6.75%
Sr: 7.25%
Yes Bank
Private
6.65%
Sr: 7.15%
Kotak Mahindra Bank
Private
6.35%
Sr: 6.85%
SBI
Public Sector
6.25%
Sr: 6.75%
HDFC Bank
Private
6.25%
Sr: 6.75%
ICICI Bank
Private
6.25%
Sr: 6.75%
Axis Bank
Private
6.25%
Sr: 6.75%
Bank of Baroda
Public Sector
6.25%
Sr: 6.75%
Canara Bank
Public Sector
6.25%
Sr: 6.75%
Federal Bank
Private
6.25%
Sr: 6.75%
PNB
Public Sector
6.1%
Sr: 6.6%
FD Interest is Taxable
FD interest is added to your income and taxed at your slab rate. TDS deducted at 10% if interest > ₹40,000/year. For 30% slab, post-tax FD return = ~4.9% (at 7% FD).
DICGC Insurance
All bank FDs are insured by DICGC (RBI) up to ₹5 Lakh per depositor per bank. To be safe, spread FDs across multiple banks if you have more than ₹5 Lakh to invest.
FD vs Mutual Funds
For 5+ year goals, equity mutual funds historically return 10-15% vs FD's 6-7%. For 1-3 year goals or risk-averse investors, FDs remain a strong choice.
FD rates are indicative and sourced from bank websites and rate aggregators — they are not live and may lag actual bank rates. Always verify the current rate with the bank before investing. Rates verified: 25 September 2026.