Best FD Rates for Senior Citizens: PSU, Private, SFBs
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- Equitas Small Finance Bank, Shivalik SFB, and Jana SFB are among the small finance banks offering competitive FD rates for senior citizens across various tenures
- Senior citizens aged 60 and above qualify for higher FD rates than regular customers at these institutions, with extra benefits layered on for the 80-plus cohort
- Indian Overseas Bank, Indian Bank, Union Bank of India, and RBL Bank each offer an additional 0.75% interest rate on top of regular FD rates for super senior citizens
- Punjab National Bank provides an additional 0.80% per annum on FDs for super senior depositors, the highest premium cited in the Paisa Bazaar data referenced by the article
- The article frames FDs as a safe, predictable investment option amid market volatility triggered by global events such as the ongoing US-Iran conflict
- Several banks and NBFCs provide an extra rate benefit specifically to super senior citizens (those aged 80 and above), beyond the standard senior citizen premium
Why it matters: For retirees parking lifetime savings in fixed deposits, the gap between regular and senior citizen rates — plus PNB's 0.80% super-senior premium beating the 0.75% offered by IOB, Indian Bank, Union Bank, and RBL — compounds into meaningful income differences across a retirement horizon, with traditional FDs gaining appeal as a defensive play against global volatility.
