Senior Citizen FD Rates: Bank of India Offers 7.45% — SkimNews
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- Bank of India offers senior citizens a peak fixed deposit rate of 7.45% annually, the highest among major public sector banks, yielding ₹7,450 per year on ₹1 lakh before tax.
- Punjab & Sind Bank provides a slightly lower peak rate of 7.35% for senior citizen FDs, resulting in ₹7,350 annual interest on a ₹1 lakh deposit before tax.
- State Bank of India leads in five-year FDs for senior citizens with a 7.05% rate, generating ₹35,250 in simple interest over five years on ₹1 lakh.
- Bank of Baroda and Central Bank of India both offer 7.25% as their peak FD rate for senior citizens, translating to ₹7,250 yearly interest per ₹1 lakh deposited.
- UCO Bank has the lowest peak FD rate in the comparison at 6.95%, creating a ₹500 annual difference per ₹1 lakh compared to Bank of India before tax.
- Bank of Maharashtra offers just 5.50% for five-year FDs, the lowest five-year rate among major banks, despite higher short-term rates elsewhere.
Why it matters: For a senior citizen investing ₹5 lakh, the gap between the highest and lowest peak FD rates means a ₹2,500 annual difference in income, making bank and tenure selection materially impactful to retirement planning, especially where compounding is not applied.
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