The special fixed deposit (FD) scheme for senior citizens was extended by HDFC Bank, ICICI Bank, until 31 March. In May 2020, in the aftermath of the coronavirus epidemic, a special FD scheme was launched to secure the interests of senior citizens as interest rates declined steadily. Top lenders such as the State Bank of India (SBI), HDFC Bank, and ICICI Bank provide additional interest rates on these FDs over the current fixed deposit (FD) rates available to senior citizens.
HDFC Special FD Scheme For Senior Citizens
HDFC Bank special FD scheme i.e. HDFC Senior Citizen Care for senior citizens is currently fetching a higher interest rate of 75 bps. HDFC Bank Senior Citizen Care FD will provide senior citizens with an interest rate of 6.25% on their fixed deposits. The rates are valid from 13 November onwards. Senior Citizens who wish to open a Fixed Deposit less than 5 crores for a period of 5 years One Day to less than 10 Years shall be granted an additional premium of 0.25 per cent (over and above the current premium of 0.50 per cent) during the special deposit offer starting from 18 May 20 to 31 Mar 21, according to the bank.
ICICI Special FD Scheme For Senior Citizens
On ICICI Bank special FD scheme i.e. ICICI Bank Golden Years, the bank is currently providing 80 bps higher interest rate on these deposits to senior citizens only. This implies that senior citizens will get an interest rate of 6.30% per annum on ICICI Bank Golden Years FD scheme. This rate is applicable from 20th May 2020 and now is further extended to 31st March 2021 for a deposit amount of up to Rs 2 Cr. In case of a premature withdrawal is made on or after 5 years 1 day, the applicable penal rate will be 1.30% respectively.
SBI Special FD Scheme For Senior Citizens
India's largest commercial bank State Bank of India (SBI) has extended its special fixed deposit scheme 'SBI Wecare' to 31 March 2021 for senior citizens. SBI launched the 'SBI Wecare' fixed deposit scheme for senior citizens in May 2020 which initially lasted until September. The scheme was introduced to give higher interest rates to senior citizens during the current pandemic scenario due to COVID-19. SBI's special FD scheme for elderly people will offer an interest rate of 80 basis points (bps) as opposed to the general public. Currently, under the special FD scheme 'SBI Wecare' SBI proposes 5.40 per cent interest rate on five years FD for the general public and for senior citizens the bank offers 6.20 percent respectively. The additional interest i.e. 30 bps under the special scheme for elderly people will not be payable in case of premature withdrawal. If you choose for premature withdrawal of an FD under the scheme, the fixed deposit investment will offer only 5.9 per cent, i.e. 50 bps above the regular rates.