Comparing the Top 5 FD Rates in 2024: Which One is Right for You

Fixed deposits or FDs have remained a popular investment avenue for many for years. The primary motive behind FD investments is to secure a fixed return and minimize risk. The past year has seen the markets take several hits, leading investors to shift towards low-risk and fixed-income products such as FDs.

As the market conditions are constantly changing, it’s important to keep a constant check on the latest FD rates. In this article, we compare the top 5 FD rates in 2024, helping you make an informed decision about which one is right for you.

1. HDFC Bank

HDFC Bank provides a competitive latest FD rate making it a popular choice among investors. As of 1st January 2024, the interest rates for FDs at HDFC Bank are:

  • 7 days to 29 days – 3.00%
  • 30 days to 45 days – 3.50%
  • 46 days to 90 days – 4.00%
  • 3 months 1 day to 6 months – 4.90%
  • 6 months 1 day to 9 months – 5.00%
  • 9 months 1 day to 6 months – 5.50%
  • 1 year to 1 year 3 months – 5.70%
  • 1 year 3 months 1 day to 1 year 6 months – 5.80%
  • 1 year 6 months 1 day to 1 year 9 months – 5.90%
  • 1 year 9 months 1 day to 2 years – 6.00%
  • 2 years 1 day to 3 years – 6.10%
  • 3 years 1 day to 5 years – 6.30%
  • 5 years 1 day to 10 years – 6.50%

HDFC Bank provides an additional 0.50% interest rate for senior citizens. However, it’s important to note that HDFC Bank’s interest rates are subject to change based on market conditions.

2. ICICI Bank

ICICI Bank has remained a popular FD option for many years. As of 1st January 2024, the interest rates for FDs at ICICI Bank are:

  • 7 days to 14 days – 2.50%
  • 15 days to 29 days – 3.00%
  • 30 days to 45 days – 3.25%
  • 46 days to 60 days – 3.50%
  • 61 days to 90 days – 4.00%
  • 91 days to 185 days – 4.75%
  • 186 days to 289 days – 5.00%
  • 290 days to less than 1 year – 5.10%
  • 1 year to 1 year 364 days – 5.40%
  • 2 years to 2 years 364 days – 5.50%
  • 3 years to 5 years – 6.00%
  • 5 years 1 day to 10 years – 6.10%

ICICI Bank also provides an additional 0.50% interest rate for senior citizens and offers a special FD scheme for minors, with a higher interest rate of 7.00%.

3. State Bank of India (SBI)

SBI has been a trusted bank for its deposit schemes for years. As of 1st January 2024, the interest rates for FDs at SBI are:

  • 7 days to 45 days – 3.00%
  • 46 days to 179 days – 4.50%
  • 180 days to 210 days – 5.00%
  • 211 days to less than 1 year – 5.10%
  • 1 year to 2 years – 5.50%
  • 2 years to 3 years – 5.60%
  • 3 years to 5 years – 6.20%
  • 5 years to 10 years – 6.50%

SBI provides an additional 0.50% interest rate for senior citizens and offers a special FD scheme for the risk-averse investor in the form of an SBI Tax Savings Scheme for those looking to save tax.

4. Axis Bank

Axis Bank has been aggressively increasing its deposits base. As of 1st January 2024, the interest rates for FDs at Axis Bank are:

  • 7 days to 29 days – 3.00%
  • 30 days to 60 days – 4.00%
  • 61 days to 90 days – 4.25%
  • 3 months to 5 years – 6.00%
  • 5 years to 10 years – 6.50%

Axis Bank also provides an additional 0.50% interest rate for senior citizens.

5. Kotak Mahindra Bank

Kotak Mahindra Bank is known for its high FD rates and has maintained a strong presence in the market. As of 1st January 2024, the interest rates for FDs at Kotak Mahindra Bank are:

  • 7 days to 14 days – 2.50%
  • 15 days to 30 days – 2.75%
  • 31 days to 45 days – 3.25%
  • 46 days to less than 6 months – 3.50%
  • 6 months to 1 year – 5.10%
  • 1 year to 2 years – 5.50%
  • 2 years 1 day to 5 years – 6.00%
  • 5 years 1 day to 10 years – 6.50%

Kotak Mahindra Bank provides an additional 0.50% interest rate for senior citizens.

In conclusion, selecting the right FD scheme to invest in is a critical decision and requires careful consideration. While the interest rates remain high, investors must check the credit ratings of the banks and analyze their financial standing before making any investments. We suggest that investors must gauge all the pros and cons before trading in the Indian financial market.

PF withdrawal refers to the process of accessing funds accumulated in an individual’s Provident Fund (PF) account before retirement age.

Summary:

Fixed deposits have always been a low-risk investment that provides a stable income for investors. In the current market conditions, low-risk investments such as FDs have become increasingly popular.

This article compared the top 5 FD rates in 2024 provided by HDFC Bank, ICICI Bank, SBI, Axis Bank, and Kotak Mahindra Bank. The interest rates offered by these banks are subject to change and require careful analysis before investing. Investors should always check the credit ratings and the financial standing of the banks before investing. We suggest investors to do their due diligence before making any investment decisions.