Compare the Current fixed deposit (FD) rates for Major Indian Bank 2025. from Federal Bank, ICICI, HDFC, SBI, and other major Indian banks. Fixed deposits (FD) in India are a safe and reliable way to grow your money. rates vary depending on the bank, tenure and whether you are a senior citizen. This blog provides a complete guide to FD rates for 2025, including those of Federal Bank and other major banks. You’ll find easy-to-read tables and information to help you make an informed decision.
FD Rates of Major Banks 2025
| Bank | 1-Year FD (General) | 1-Year FD (Senior) | 2-Year FD (General) |
| ICICI Bank | 6.25% | 6.75% | 6.4% |
| Axis Bank | 6.25% | 6.75% | 6.60% |
| HDFC Bank | 6.25% | 6.75% | 6.60% |
| SBI | 6.55% | 7.05% | 6.85% |
| Indian Bank | 6.10% | 6.60% | 6.40% |
Observation : Private banks like ICICI, Axis, and HDFC are competitive for 1-year fixed deposits. Public banks such as SBI offer slightly higher returns for longer-term deposits.
Federal Bank FD Rates (2025)
| Tenure (Approx.) | General Rate | Senior Citizen Rate |
| Up to 1 month | 3.00% | 3.50% |
| 1–1.5 months | 3.25% | 3.75% |
| 1.5–3 months | 4.25% | 4.75% |
| 3–6 months | 4.50% | 5.00% |
| 6–9 months | 6.00% | 6.50% |
| 9–12 months | 6.00% | 6.50% |
| 1 year | 6.40% | 6.90% |
| 1–2 years | 6.50% | 7.00% |
| 2 years (special 750 days) | 6.60% | 7.10% |
| 2–3 years | 6.50% | 7.00% |
| 3 years (special 999 days) | 6.70% | 7.20% |
| 5–10 years | 6.50% | 7.00% |
FD vs Other Investment Options
| Feature | FD | Mutual Fund | Stock Market | Gold |
|---|---|---|---|---|
| Risk | Very Low | Moderate-High | High | Moderate |
| Return | 5–6% | 8–15% (varies) | Varies | 7–12% |
| Liquidity | Moderate | High | High | High |
| Taxation | Taxable | Taxable / LTCG | Taxable / LTCG | Taxable / LTCG |
| Safety | Guaranteed | Market-linked | Market-linked | Market-linked |
Why Invest in FDs?
FDs are highly popular because they offer:
- Safety
Deposits up to ₹5 lakh per bank are insured under DICGC (Deposit Insurance and Credit Guarantee Corporation), making FDs virtually risk-free. - Predictable Returns
Unlike equities, where returns fluctuate, FDs provide a fixed interest rate, making financial planning easier. - Flexible Tenure
You can choose short-term (7–30 days), medium-term (1–3 years), or long-term (5–10 years) tenures based on your needs. - Loan Against FD
Banks allow you to take loans or overdraft against your FD at lower interest rates, providing liquidity without breaking the FD. - Ideal for Senior Citizens
Many banks offer 0.5%–1% extra interest to senior citizens, making it a preferred choice for retirees.
Key Takeaways for Investors
- Short-term fixed deposits (less than 6 months) offer lower returns of about 3 to 5%. Deposits of 1 year and longer yield around 6 to 7%.
- Senior citizens receive a consistently higher interest rate of 0.50%.
- Special tenures, such as 750 days and 999 days at Federal Bank, provide slightly better returns than standard 2 to 3-year fixed deposits.
- Match your fixed deposit tenure with your financial goals, considering liquidity versus long-term growth.
Tips to Maximize Your Fixed Deposit Returns
- Firstly, Compare fixed deposit (FD) rates at different banks.
- Senior citizens should look for special rates to secure higher returns.
- Think about spreading your deposits across banks to boost interest earnings.
- Check the minimum and maximum deposit limits before investing.
- Always verify the current fixed deposit rates with the bank, as they may change.
Conclusion
Fixed Deposits are a safe and reliable way to grow your savings with predictable returns. By comparing rates at different banks and choosing special tenures wisely, you can boost your earnings. Senior citizens should take advantage of higher rates. while, all investors should match FD tenure with their financial goals. With careful planning, selecting the right bank and tenure can help your money grow steadily and securely.
FAQs
It depends on how long you want to invest and if you are a senior citizen. Federal Bank offers good rates, especially for 1 to 3 year FDs. Private banks like ICICI, HDFC, and Axis are great for 1-year deposits.
Yes. Most banks offer an extra 0.50% interest for senior citizens.
Generally, 1 to 3 years is the best choice. Special tenures like 750 days or 999 days may provide slightly higher interest
Yes, but banks usually charge a penalty, and the interest rate might be lower.
Rates change based on RBI policy, inflation, and market conditions. Always check before you invest.