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Senior Citizen FD Rates 2026

Extra interest for depositors aged 60+ — compare bank-wise senior rates, super-senior benefits, tax deduction under 80TTB and the higher TDS threshold.

Updated 27 September 2026 · 25 banks tracked
Highest FD rate now
7.45%
Bandhan Bank · 2 – <3 years
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What you need to know

Banks pay resident Indians aged 60 years or more an additional rate — usually 0.50% over the regular card, sometimes more for 5–10 year deposits (SBI’s WeCare adds another 0.50%) or for super seniors aged 80+ (for example, Central Bank and Indian Bank add 0.75% and Canara Bank adds 0.60% over the regular rate). Seniors also get a higher TDS threshold of ₹1 lakh a year and can claim a deduction of up to ₹50,000 on deposit interest in the old tax regime.

Best senior citizen FD rates by bank

BankHighest senior rateTenure1 year (senior)5 years (senior)Extra over general (at best tenure)
Bandhan Bank7.95%2 – <3 years7.50%6.60%0.50%
YES Bank7.75%18 months 1 day – <24 months / 3 – 5 years7.15%7.75%0.50%
RBL Bank7.70%18 – 36 months7.50%7.50%0.50%
IDFC FIRST Bank7.50%500 days – 3 years6.75%7.00%0.25%
IndusInd Bank7.50%1 year 6 months – <1 year 7 months7.25%7.15%0.50%
Tamilnad Mercantile Bank7.50%456 days7.30%7.10%0.40%
Bank of India7.45%3 years7.00%6.75%0.75%
Kotak Mahindra Bank7.30%2 – <3 years6.85%6.75%0.50%
South Indian Bank7.30%30 months6.75%6.20%0.50%
Axis Bank7.25%5 – 10 years6.75%7.25%0.75%
Bank of Baroda7.25%555 days (bob Golden Goal)6.75%6.90%0.50%
Federal Bank7.25%36 months6.75%6.90%0.50%
Indian Bank7.15%555 days (Ind Grow)6.60%6.50%0.50%
Canara Bank7.10%555 days6.75%6.75%0.50%
ICICI Bank7.10%3 years 1 day – 5 years6.75%7.10%0.60%
Indian Overseas Bank7.10%444 days7.00%6.60%0.50%
Punjab National Bank7.10%444 days6.75%6.60%0.50%
Standard Chartered Bank7.10%1 year – 376 days7.10%6.75%0.50%
Bank of Maharashtra7.05%400 days6.70%5.50%0.50%
Karnataka Bank7.05%555 days6.90%6.55%0.40%
State Bank of India7.05%5 – 10 years6.75%7.05%0.60%
Union Bank of India7.05%555 days6.70%6.50%0.50%
HDFC Bank7.00%3 years – 4 years 7 months6.75%6.90%0.50%
IDBI Bank7.00%>2 – <3 years6.70%6.75%0.50%
Central Bank of India6.80%444 / 555 days6.70%6.50%0.50%

SBI’s 5–10 year senior rate includes the WeCare premium. Some banks pay super seniors (80+) more — see the bank’s page.

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Benefits for senior citizens

BenefitDetails
Extra interestUsually +0.50% over the regular rate; some banks pay more on long tenures or for 80+
TDS threshold₹1,00,000 interest a year per bank (₹50,000 for others) from FY 2025-26
Tax deductionUp to ₹50,000 on interest from savings, FD and RD (Sec 80TTB, old regime only)
No TDS declarationSeniors whose tax on total income is nil can submit Form 121 (earlier Form 15H) to stop TDS
Premature withdrawalSeveral banks (e.g. IDFC FIRST) waive the penalty for seniors on deposits below ₹3 crore

Senior FD vs other options for retirees

OptionRateTenure / limitSafety
Bank FD (senior)≈6.6% – 7.95%Flexible, 7 days – 10 yearsDICGC ₹5 lakh per bank
SCSS8.2% (Jul–Sep 2026)5 years, max ₹30 lakhSovereign guarantee
Post Office MIS7.4%5 years, max ₹9 lakh singleSovereign guarantee
RBI Floating Rate BondsNSC rate + 0.35% (resets half-yearly)7 yearsSovereign guarantee

Smart strategies for retirees

  • Use SCSS and POMIS first for guaranteed income, then top up with senior FDs for flexibility.
  • Choose monthly or quarterly payout FDs for regular income; keep a cumulative FD for emergencies.
  • Ladder deposits across 1–5 years so a part matures every year.
  • Keep each bank’s total (with interest) within ₹5 lakh for full DICGC protection.
  • Submit Form 121 at the start of each financial year if your tax liability is nil, to avoid TDS.
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Frequently asked questions

Who qualifies as a senior citizen for FDs?

A resident individual who has turned 60 on the date of opening the deposit. NRIs are generally not eligible for the extra rate.

What if I turn 60 during the FD tenure?

The higher rate usually applies only to deposits opened or renewed after you turn 60. Some banks allow you to close and rebook without penalty.

Is the senior rate available on tax-saver FDs?

Yes, most banks pay the senior rate on 5-year tax-saver FDs too.

Do super seniors get more?

Some banks — for example Central Bank of India, Indian Bank and Canara Bank — pay an extra premium to depositors aged 80+.

Information is for education and comparison. Rates and rules change — confirm with your bank and a tax adviser before investing. FinancePortal is not a financial or tax adviser.