By Diverse banks offer varying interest rates on fixed deposits, encompassing public sector banks, private banks, and small finance banks. Notably, small finance banks often present higher interest rates compared to national banks. Fixed Deposits (FDs) stand out as an optimal investment choice for individuals seeking stable returns within a predetermined timeframe. These returns are associated with fixed interest rates, ensuring a secure investment avenue. Senior citizens are additionally privileged with elevated interest rates.
Traditionally, FDs are predominantly undertaken in banks, each offering distinct interest structures. Alongside public sector banks, numerous private and small finance banks extend fixed deposit options. In this context, Suryoday Small Finance Bank (SSBF), a prominent small finance bank, has recently adjusted its FD interest rates for deposits below Rs 2 crore. The revised rates, effective from March 1, 2024, reflect a 41 basis points increase over a 25-month duration.
Post-revision, the bank now provides interest rates ranging from 4.00% to 9.01% for general citizens and 4.50% to 9.25% for senior citizens. Notably, for FDs below Rs 2 crore, Suryoday Small Finance Bank offers a maximum tenor of 5 to 10 years. Ordinary citizens can secure an interest rate of 7.25%, while senior citizens can avail of 7.75%. For tenures spanning from 2 years to 1 day, general citizens and senior citizens can access interest rates of 8.60% and 9.10%, respectively.
Early withdrawal incurs a 1% penalty for closure, renewal, or partial withdrawal of term deposits. Additionally, the bank offers competitive recurring deposit rates, with the highest interest rate set at 8.60% for general citizens and 9.10% for senior citizens over a 27-month tenure. Recurring deposits are available for a minimum of 6 months and a maximum of 10 years. Ordinary citizens can earn an interest rate of 5.00% for a 6-month tenure, while senior citizens can secure 5.50%. For tenures ranging from 5 to 10 years, ordinary citizens and senior citizens can earn interest rates of 7.25% and 7.75%, respectively.
