1 Year FD: 2 Private Sector Banks Offering 6 - 6.25% Return To Non-Senior Citizens

For risk-averse investors who want to start building wealth, having some safe or risk-free investments in their portfolios is necessary. As a consequence of the flexible tenure, deposit safety, stable returns, and tax benefits, investors with zero risk tolerance find fixed deposits in the debt category to be a very attractive product. Deposits in a fixed deposit account are insured by the DICGC up to Rs 5 lakhs, and the returns are not market-based, giving debt investors more comfort of a financial dream. Senior citizens often receive 0.25 percent to 1% higher interest rates on fixed deposits than non-senior citizens. However, for regular customers who want to open a fixed deposit for a short period of time, maybe a year, we have identified two major and well-known private sector banks that are offering more than 6% returns on fixed deposits of less than Rs 2 crore maturing in a year.

Note: Interest rates on fixed deposits of 1 year are marked in bold.

IndusInd Bank

The bank offers a 2.75 percent to 6.50 percent interest rate on domestic fixed deposits of less than Rs 2 crore to the general public on deposits maturing in 7 days to 61 months and above. IndusInd Bank is providing regular customers an interest rate of 6.00 percent on fixed deposits maturing in one year, which is more than what public sector banks are offering. The fixed deposit account can be opened online, and the interest rates listed below are in force from February 16th, 2022.

Tenure	Regular interest rates p.a. in %
7 days to 14 days	2.75
15 days to 30 days	3
31 days to 45 days	3.25
46 days to 60 days	3.5
61 days to 90 days	3.75
91 days to 120 days	4
121 days to 180 days	4.5
181 days to 210 days	4.6
211 days to 269 days	4.75
270 days to 354 days	5.5
355 days to 364 days	5.5
1 year to below 1 Year 6 Months	6
1 Year 6 Months to below 1 Year 7 Months	6
1 Year 7 Months to below 2 Years	6
2 years to below 2 years 6 Months	6.5
2 years 6 Months to below 2 years 9 Months	6.5
2 years 9 months to below 3 years	6.5
3 years to below 61 months	6.5
61 months and above	6
Indus Tax Saver Scheme (5 years)	6.5
Source: Bank Website

RBL Bank

RBL Bank is the only private sector bank that pays the highest interest rate of 6.25 percent on domestic term deposits of less than Rs 3 crore with a one-year maturity. The bank provides non-senior individuals an interest rate of 3.25 percent to 5.75 percent on deposits maturing in 7 days to 240 months. The bank provides a 6.25 percent interest rate to the general public on deposits maturing in 12 months to less than 24 months. From February 3, 2022, these interest rates are in force.

Tenure	Regular interest rates p.a. in %
7 days to 14 days	3.25%
15 days to 45 days	3.75%
46 days to 90 days	4.00%
91 days to 180 days	4.50%
181 days to 240 days	5.00%
241 days to 364 days	5.25%
12 months to less than 24 months	6.25%
24 months to less than 36 months	6.50%
36 months to less than 60 months	6.30%
60 months to 60 months 1 day	6.30%
60 months 2 days to less than 120 months	5.75%
120 months to 240 months	5.75%
Tax Savings Fixed Deposit (60 months)	6.30%
Source: Bank Website