Senior citizens special fixed deposit (FD) rates: SBI vs ICICI Bank vs HDFC Bank – Mint

Senior citizens special fixed deposit scheme were introduced amid the coronavirus pandemic to safeguard the interests of senior citizens as the interest rates were falling rapidly. State Bank of India (SBI), HDFC Bank and ICICI Bank have extended the scheme till 31 March 2021. Let’s take a look at the senior citizens special FD scheme interest rates offered by SBI, ICICI and HDFC Bank.

SBI special FD scheme for senior citizens

SBI special FD scheme for senior citizens will fetch 80 basis points (bps) interest rate above the rate applicable to the general public. At present, SBI gives 5.4% interest rate on five years FD for the general public. If a senior citizen puts a fixed deposit under the special FD scheme, then interest rate applicable to the FD will be 6.20%. This additional interest i.e. 30 bps under the special scheme for senior citizens will not be payable in case of premature withdrawal of such deposits. Therefore, if you opt for premature withdrawal of an FD under the scheme, your fixed deposit investment will fetch only 5.9% i.e. 50 bps above the general customers. These FD rates are effective from 8 January 2021.

HDFC Bank special FD scheme for senior citizens

HDFC Bank offers 75 bps higher interest rate on these deposits. If a senior citizen puts a fixed deposit under HDFC Bank Senior Citizen Care FD, then interest rate applicable to the FD will be 6.25%. These rates are applicable from 13 November 2020.

ICICI Bank special FD scheme for senior citizens

ICICI Bank offers 80 bps higher interest rate on these deposits. ICICI Bank Golden Years FD scheme offers senior citizens an interest rate of 6.30% per annum. 6.30%. These rates are effective 21 October 2020.