IDFC and other private banks offering up to 7 percent interest for senior citizens on three-year FDs; check list here

The Reserve Bank of India (RBI) has maintained the key repo rate unchanged at a 4 percent low, following which many banks have reduced their interest rates on FD

FP Trending November 05, 2021 15:08:06 IST
IDFC and other private banks offering up to 7 percent interest for senior citizens on three-year FDs; check list here

representational image

Investing in fixed income instruments like fixed deposits is a safe option for senior citizens as well as young customers. These fixed-income instruments come under the debt investment category.

Fixed deposit investment offers a regular income stream that depends on the deposit amount and maturity time chosen. Because of low-interest rates on fixed deposits, it is better to invest for a short-term period.

The Reserve Bank of India (RBI) has maintained the key repo rate unchanged at a 4 percent low, following which many banks have reduced their interest rates on FDs.

However, here are a few private banks that offer interest rates on three-year FDs of up to 7 percent for senior citizens:

DCB Bank: Formally known as Development Credit Bank, it offers 6.45 percent interest for senior citizens in three-year FDs. So, if Rs 1 lakh is invested in the respective bank then that grows to Rs 1.21 lakh in three years. Furthermore, the minimum investment required by senior citizens is Rs 10,000.

IDFC: This bank is known as Infrastructure Development Finance Company and it is the first bank that offers 6.25 percent interest for senior citizens in three-year FDs. So, if Rs 1 lakh is invested, it grows to Rs 1.20 lakh in three years.

Yes Bank: This bank offers 7 percent interest for senior citizens on three-year FDs. Yes bank offers the best interest rates when compared to other private banks. So, if a sum of Rs 1 lakh is invested, then it grows to Rs 1.23 lakh in three years.

RBL Bank: Formerly known as Ratnakar Bank, this private sector bank offers 6.80 percent interest for senior citizens in three-year FDs. So, if Rs 1 lakh is invested by an individual, it grows to Rs 1.22 lakh in three years.

IndusInd Bank: This bank offers 6.50 percent interest for senior citizens in three-year Fixed Deposits. However, the minimum investment required for this is Rs 10,000. So, if Rs 1 lakh is invested, it grows to Rs 1.21 lakh in three years.

Updated Date:

also read

CPI MP Binoy Viswam urges railway minister to restore senior citizen concession in trains
India

CPI MP Binoy Viswam urges railway minister to restore senior citizen concession in trains

While the decision was made in light of COVID-19, it has not been reviewed despite repeated demands of senior citizens as the country opened up once again after the pandemic, Viswam said

Postmaster spends Rs 1.25 crore of depositors on IPL betting in Madhya Pradesh; arrested
Sports

Postmaster spends Rs 1.25 crore of depositors on IPL betting in Madhya Pradesh; arrested

The accused, Vishal Ahirwar, was arrested after the matter came to light earlier this month when some people contacted the sub-post office on the completion of their fixed deposit terms

RBI rejects 6 applications for setting up banks
Business

RBI rejects 6 applications for setting up banks

The RBI in a statement said the examination of six applications has now been completed as per the procedure laid down under the guidelines