Senior citizens looking to earn a steady income from fixed deposits (FDs) can get interest rates of up to 7.45% a year at major Indian banks in October 2026, according to Paisabazaar.
Bank of India offers the highest maximum rate among the 10 banks compared, paying 7.45% a year on a three-year deposit. Bank of Baroda and Axis Bank offer up to 7.25%, while Kotak Mahindra Bank offers a maximum of 7.15%.
HDFC Bank and ICICI Bank offer maximum rates of 7.10% each. However, the highest advertised rate may apply only to specific deposit periods, making it important for senior citizens to compare rates for the tenure they have in mind.
Here is a look at the interest rates offered by 10 major public and private sector banks on one-year, three-year and five-year fixed deposits, along with their maximum advertised rates.
State Bank of India FD rates for senior citizens
State Bank of India (SBI) offers senior citizens a maximum interest rate of 7.05% a year on deposits with tenures of five to 10 years.
The bank offers 6.75% on a one-year deposit and 6.80% on a three-year deposit. Five-year and 10-year deposits earn 7.05%.
HDFC Bank FD rates for senior citizens
HDFC Bank offers a maximum rate of 7.10% on deposits with tenures ranging from three years and one day to less than four years and seven months.
The bank pays 6.75% on a one-year deposit, 6.95% on a three-year deposit and 6.90% on a five-year deposit. Its listed rate for a 10-year deposit is 6.65%.
ICICI Bank FD rates for senior citizens
ICICI Bank offers a maximum interest rate of 7.10% on deposits with tenures ranging from three years and one day to five years.
Its one-year deposit rate is 6.75%, while three-year deposits earn 6.95%. Five-year deposits earn 7.10%, and the rate for a 10-year deposit is 7%.
Punjab National Bank FD rates for senior citizens
Punjab National Bank (PNB) offers a maximum interest rate of 7.10% on a 444-day deposit.
The bank pays 6.75% on a one-year deposit, 6.80% on a three-year deposit and 6.85% on a five-year deposit.
Bank of Baroda FD rates for senior citizens
Bank of Baroda offers a maximum rate of 7.25% on its 555-day BoB Golden Goal Deposit Scheme.
The bank offers 6.75% on both one-year and three-year deposits, while five-year deposits earn 6.90%. Its listed rate for a 10-year deposit is 7%.
Axis Bank FD rates for senior citizens
Axis Bank offers senior citizens a maximum interest rate of 7.25% on deposits with tenures ranging from five to 10 years.
The bank pays 6.75% on a one-year deposit and 7% on a three-year deposit. Both five-year and 10-year deposits earn 7.25%.
Bank of India FD rates for senior citizens
Bank of India offers the highest maximum rate among the 10 banks compared, at 7.45% a year on a three-year deposit.
The bank offers 7% on a one-year deposit and 6.75% on a five-year deposit.
Canara Bank FD rates for senior citizens
Canara Bank offers a maximum interest rate of 7.10% on a 555-day deposit.
The bank pays 6.75% on one-year, three-year and five-year deposits.
Kotak Mahindra Bank FD rates for senior citizens
Kotak Mahindra Bank offers a maximum rate of 7.15% on deposits with tenures of two years to less than three years.
The bank pays 6.85% on a one-year deposit, 6.90% on a three-year deposit and 6.75% on a five-year deposit. Its listed rate for a 10-year deposit is also 6.75%.
Union Bank of India FD rates for senior citizens
Union Bank of India offers a maximum interest rate of 7.05% on a 555-day deposit.
Its one-year deposit rate is 6.70%, while three-year and five-year deposits earn 6.60% and 6.50%, respectively.
What should senior citizens check before investing in FDs?
The highest rate may not be available for every deposit period. Senior citizens should compare the rate offered for their preferred tenure rather than choosing a bank based solely on its maximum advertised rate.
They should also check the rules for premature withdrawals. Closing an FD before maturity may reduce the interest payable or attract a penalty, depending on the bank’s terms.
Interest earned on fixed deposits may be taxable under applicable income tax rules. Senior citizens who depend on FD income for regular expenses should also compare interest payout options, including monthly and quarterly payments where available.
Bank deposits are insured by the Deposit Insurance and Credit Guarantee Corporation (DICGC) up to ₹5 lakh per depositor per bank, including principal and interest, subject to applicable rules.
Before opening an FD, depositors should verify the latest interest rates, eligible tenures, premature withdrawal conditions and other terms on the bank’s official website.