Bank fixed deposits (FDs) are popular investment tools for senior citizens for regular cash flows. In the week ending December 2, 2023, four banks, Punjab & Sind, CSB, IndusInd, and Capital Small Finance Bank have revised their Seniors Citizens FD rates, offering seniors up to 8.25 percent interest.

Let’s explore the revised Seniors Citizens FD rates in detail.  

Punjab & Sind Bank (PSB):

PSB offers an additional 0.50 per cent and 0.15 per cent interest on FDs to senior citizens and super senior citizens, respectively. After the revision on December 1, 2023, its highest rate is 7.40 percent for the special 444-day FD, valid until January 31, 2024. Seniors can get 7.90 percent on this FD with the additional rates offered to them.

For FDs of less than a year, seniors get up to 6.00 per cent. The one-year FD offers 6.70 percent, and 6.50 percent for FDs of more than a year. For FDs of over 1 year to 443 days, 445 days to 2 years, and 3 to 5 years, the interest is 6.50 percent. For above 2 to less than 3 years, the interest is 6.80 percent, and for over 5 to 10 years, the interest rate is 6.75 percent.

CSB Bank:

CSB bank revised the rates on December 1, 2023. The bank named its senior citizen fixed deposits as “Acharya term deposits”. Seniors can avail a maximum of 7.75 percent for 401 days. For 750 days, the interest rate is 7.10 per cent, the bank’s second-highest rate. For more than one year, the interest rate is 5.50 percent, and for above 1 year to 400 days, and above 401 days to 2 years, it is 6.00 percent. For above 2 years to less than 750 days and above 750 days to 5 years, the rate is 6.25 percent. For those above 5 to 10 years, seniors get 6.50 percent.

IndusInd Bank:

Revised on December 1, 2023, IndusInd Bank offers the highest 8.25 percent interest to senior citizens, 0.75 percent over the interest rates available to the general public. It offers seniors 0.75 per cent extra on all FD tenures, including FDs of 7 to 14 days, where seniors earn a 4.25 per cent interest compared to 3.50 per cent for the general public.

Seniors can avail the highest interest of 8.25 per cent for three tenures: 1 year to below 1 year 6 months, 1 year 6 months to below 1 year 7 months, and 1 year 7 months to up to 2 years. The interest is 8.00 percent for tenures between more than two years and below 61 months. For 61 months and above, the bank offers 7.75 per cent to seniors and 7.00 to others.  

Capital Small Finance Bank:

Capital Small Finance Bank (SFB) pays a maximum of 8.10 percent interest to senior citizens for the special 400-day FD. The other special category FDs the bank offers are 12 months, 600 days, and 900 days, offering 8.00, 7.90, and 7.90 percent interest, respectively, for senior citizens, 0.50 percent higher than the general public. For any FDs within 1 year to less than 5 years, the rate is 7.65 per cent, and for 5 to 10 years, the rate is 7.60 percent for seniors.