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 3 Years Rate
7.4%
Average Rate
6.66%
Rates Verified
25 Sep 2026
FD Rates — 3 Years Tenure (sorted by highest rate)
+0.5% extra for Senior Citizens (60+)
| Bank | Type | 3 Years Rate | Senior Citizen | ₹1L for 3 Years | vs SBI |
|---|---|---|---|---|---|
|
AS
AU Small Finance 🏆 Best Rate |
Small Finance |
7.4% |
7.9% |
₹24,604 interest Maturity: ₹124,604 |
+1.1% |
|
BB
Bandhan Bank |
Small Finance |
7.25% |
7.75% |
₹24,055 interest Maturity: ₹124,055 |
+0.95% |
|
US
Ujjivan Small Finance |
Small Finance |
7.25% |
8.0% |
₹24,055 interest Maturity: ₹124,055 |
+0.95% |
|
YB
Yes Bank |
Private |
7.0% |
7.5% |
₹23,144 interest Maturity: ₹123,144 |
+0.7% |
|
IB
IndusInd Bank |
Private |
6.9% |
7.4% |
₹22,781 interest Maturity: ₹122,781 |
+0.6% |
|
IF
IDFC First Bank |
Private |
6.75% |
7.25% |
₹22,239 interest Maturity: ₹122,239 |
+0.45% |
|
FB
Federal Bank |
Private |
6.7% |
7.2% |
₹22,059 interest Maturity: ₹122,059 |
+0.4% |
|
HB
HDFC Bank |
Private |
6.5% |
7.0% |
₹21,341 interest Maturity: ₹121,341 |
+0.2% |
|
IB
ICICI Bank |
Private |
6.45% |
6.95% |
₹21,162 interest Maturity: ₹121,162 |
+0.15% |
|
AB
Axis Bank |
Private |
6.45% |
6.95% |
₹21,162 interest Maturity: ₹121,162 |
+0.15% |
|
KM
Kotak Mahindra Bank |
Private |
6.4% |
6.9% |
₹20,983 interest Maturity: ₹120,983 |
+0.1% |
|
S
SBI |
Public Sector |
6.3% |
6.8% |
₹20,626 interest Maturity: ₹120,626 |
Benchmark |
|
BO
Bank of Baroda |
Public Sector |
6.25% |
6.75% |
₹20,448 interest Maturity: ₹120,448 |
-0.05% |
|
CB
Canara Bank |
Public Sector |
6.25% |
6.75% |
₹20,448 interest Maturity: ₹120,448 |
-0.05% |
|
P
PNB |
Public Sector |
6.1% |
6.6% |
₹19,916 interest Maturity: ₹119,916 |
-0.2% |
AU Small Finance
Small Finance
7.4%
Sr: 7.9%
Bandhan Bank
Small Finance
7.25%
Sr: 7.75%
Ujjivan Small Finance
Small Finance
7.25%
Sr: 8.0%
Yes Bank
Private
7.0%
Sr: 7.5%
IndusInd Bank
Private
6.9%
Sr: 7.4%
IDFC First Bank
Private
6.75%
Sr: 7.25%
Federal Bank
Private
6.7%
Sr: 7.2%
HDFC Bank
Private
6.5%
Sr: 7.0%
ICICI Bank
Private
6.45%
Sr: 6.95%
Axis Bank
Private
6.45%
Sr: 6.95%
Kotak Mahindra Bank
Private
6.4%
Sr: 6.9%
SBI
Public Sector
6.3%
Sr: 6.8%
Bank of Baroda
Public Sector
6.25%
Sr: 6.75%
Canara Bank
Public Sector
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.