Senior Citizens: Find Best FD Rates in 2025

• Small Finance Banks: Up to 8.15% FD rates, best for senior citizens as of Oct 2025.
• Private Banks: Offer competitive rates (up to 7.75%) balancing returns and reliability.
• Public Banks: Provide lower, stable returns; Bank of Maharashtra at 7.20% for 366 days.

Before investing in a fixed deposit (FD), it’s wise to compare interest rates across different banks. Rates can vary widely depending on the institution,

deposit amount, and tenure. In most cases, longer-term FDs offer better returns since banks reward investors who keep their money locked in for extended periods. Additionally, senior and super senior citizens enjoy preferential rates, typically 0.25 per cent to 0.75 per cent higher, making FDs an attractive, low-risk savings option for retirees. Comparing rates and tenures beforehand ensures you secure the best possible return on your investment. Small Finance Banks Offer The Most Attractive FD Rates As of October 2025, small finance banks continue to dominate the fixed deposit market with the most competitive rates. These banks consistently outpace both private and public sector counterparts, especially for senior citizens.

• ESAF Small Finance Bank offers 8.10 per cent for 444 days.
• Jana Small Finance Bank provides 8.00 per cent for deposits between two and three years, as well as for five-year tenures.
• Suryoday Small Finance Bank also extends 8.10 per cent for five-year deposits.
• Utkarsh Small Finance Bank leads with 8.15 per cent for deposits between two and three years.

For senior citizens, these institutions remain the most rewarding options for long-term savings.

Private Sector Banks Remain Competitive

While returns from private sector banks are slightly lower, they still provide attractive interest rates compared to larger public lenders.

• Bandhan Bank offers 7.70 per cent for tenures between two and three years.
• DCB Bank provides 7.70 per cent for 37–38 months, along with an additional 0.05 per cent for those aged 70 and above.
• RBL Bank offers 7.70 per cent for 18 months to three years, and super senior citizens receive an extra 0.25 per cent.
• YES Bank provides 7.75 per cent for deposits lasting from three to less than five years.

These figures show that private lenders remain a viable choice for investors seeking a balance between returns and brand reliability.

Public Sector Banks Offer Stability but Lower Returns

Public sector banks typically provide moderate returns but remain a preferred option for risk-averse investors.

• Bank of Maharashtra offers 7.20 per cent for 366 days.
• Central Bank of India provides 7.25 per cent for tenures of 2222 or 3333 days.
• Indian Bank offers 7.20 per cent for 444 days, with an additional 0.25 per cent for super senior citizens.
• Indian Overseas Bank also provides 7.20 per cent for 444 days, plus 0.25 per cent for those aged 80 and above.

Overall, super senior citizens, depositors aged 80 years and above, enjoy slightly better rates across most banks.

(Data as of October 22, 2025, sourced from Paisabazaar.com.)