India fixed deposit rates 2.5%-8.11%

Business Today reported on May 21 that fixed-deposit rates for regular depositors in India currently range from 2.5% to 8.11% across scheduled banks, with pricing spread across maturities from seven days to 10 years. The widest gap is between small finance banks and the country’s larger private and public lenders, according to the publication’s comparison. The report said small finance banks remain at the top end of the market even as larger banks keep headline rates closer to the mid-6% range. For depositors, the practical point is that the quoted rate now depends as much on bank type and tenure as on the decision to buy an FD at all. ### Which banks are offering the highest rates right now? Business Today said Jana Small Finance Bank is currently offering the highest listed FD rate at 8.11%. Suryoday Small Finance Bank and Utkarsh Small Finance Bank were each listed at up to 8.10%, while Shivalik Small Finance Bank was shown at 7.80%, ESAF Small Finance Bank at 7.75% and Unity Small Finance Bank at 7.50%. (businesstoday.in) April 17 data cited by Business Today in an earlier comparison also showed small finance banks leading the market, though the names and peak rates shifted by institution and tenor. In that April snapshot, Suryoday Small Finance Bank was listed at 7.90%, Jana Small Finance Bank at 7.77% and Utkarsh Small Finance Bank at 7.25%, underscoring that the top of the market can move within weeks. (businesstoday.in) ### Where do the large private and public banks sit? Business Today said private-sector lenders including IDFC FIRST Bank, Bandhan Bank, Jammu & Kashmir Bank, Tamilnad Mercantile Bank and DCB Bank are offering more than 7% on selected deposits. The same report said HDFC Bank and ICICI Bank currently offer maximum FD rates of 6.50%, while Axis Bank offers up to 6.45%. (businesstoday.in) State Bank of India’s highest slab rate stands at 6.45%, according to the May 21 report, while Punjab National Bank offers 6.60%. Business Today’s April comparison said most large public-sector banks were clustered around 6.45% to 6.60%, leaving roughly a 100-150 basis point gap versus the stronger small-finance-bank offers at that time. (businesstoday.in) ### Why does the quoted FD rate vary so much? Business Today said the current range covers deposits from seven days to 10 years, and that one-year, three-year and five-year buckets often carry different rates depending on liquidity needs and bank funding strategy. Some banks, the report said, offer promotional pricing for selected maturities, while others lean toward shorter or medium-term deposits. (businesstoday.in) The April comparison added that small finance banks’ higher rates reflect their need to attract deposits to fund credit growth, particularly in underserved and retail segments. That explanation was attributed by Business Today to the structure of the market rather than to any single bank announcement. (businesstoday.in) ### What should a depositor compare beyond the headline number? The May 21 Business Today report said investors are increasingly comparing banks, tenures and alternative fixed-income options before locking in deposits. That means the highest advertised rate does not automatically answer the question of which FD is best for a given saver, because the top rate may apply only to a specific maturity rather than to a standard one-, three- or five-year deposit. (businesstoday.in) Business Today’s May 21 comparison is the current reference point for the bank-by-bank and tenure-by-tenure breakdown it published for retail depositors. The publication’s table can be used to check the latest slabs for one-year, three-year and five-year deposits and to see which named banks are above 7% as of May 21. (businesstoday.in)