Senior Citizens FD: Get 8.75% Return On 2-3 Years Tenor From This Bank From 2024

ESAF Small Finance Bank (ESAF SFB) has made interest rate revisions on its fixed deposits of less than Rs 2 Cr. The bank is now offering interest rates ranging from 4.00% to 6.25% to the general public and 4.50% to 6.75% to senior citizens on 7 days to 10 years tenure. The bank is now giving a maximum return of 8.25% for non-senior citizens and 8.75% for senior citizens on tenures of two years to less than three years, based on modifications made on January 1, 2024.

ESAF SFB FD Rates

The bank is now giving an interest rate of 4.00% on deposits that mature between 7 to 14 days, while ESAF SFB is also offering an interest rate of 4.50% on deposits maturing in 15 to 59 days. The current interest rate offered by ESAF SFB is 5.00% for deposits with a duration of 60 to 90 days and 5.25% for deposits with a duration of 91 to 182 days.

The interest rate on deposits maturing in 183 days to 1 year is now 6.00%, while the interest rate on deposits maturing in 1 year, 1 day to less than 2 years is now 7.75%. The bank is now giving an interest rate of 8.25% on deposits that mature in two years to less than three years, while ESAF SFB is now offering an interest rate of 6.75% on deposits maturing in three years to less than five years. The current interest rate offered by ESAF Small Finance Bank on long-term deposits spanning five to ten years is 6.25%.

Period	Rate of Interest effective from 01/01/2024
	Normal Rate (%)	Rate for Senior Citizens (%)
7 days to 14 days	4.00%	4.50%
15 days to 59 days	4.50%	5.00%
60 days to 90 days	5.00%	5.50%
91 days to 182 days	5.25%	5.75%
183 days to 1 year	6.00%	6.50%
1 year 1 day to less than 2 years	7.75%	8.25%
2 years to less than 3 years	8.25%	8.75%
3 years to less than 5 years	6.75%	7.25%
5 years to 10 years	6.25%	6.75%
Source: Bank Website

The interest rates mentioned below are applicable to both new and renewal resident term deposits. The interest rates mentioned below also apply to resident recurring deposits.

"Penalty for premature closure will be applicable for Resident term deposits, as per rules. The interest rate applicable on premature closure of Resident term deposits will be (a) or (b) below, whichever is lower, subject to penalty for premature closure. (a) The rate of interest for the original/contracted tenor of the deposit (b) The rate of interest which was applicable at the time of opening of the deposit, for the tenor for which the deposit has remained with the Bank."

Answering the question of withdrawing fixed deposits prematurely, ESAF SFB has mentioned on its website that "No interest shall be paid,if the deposit is closed within the minimum period prescribed for the product (7 days for Domestic Deposits and 1 year for NRE Deposits) .After which , interest will be paid @ Retail FD rate prevailing at the date of contract for the period run minus applicable penalty."

Meanwhile, among the small finance banks, Jana Small Finance Bank has also made interest rate revisions on fixed deposits of less than Rs 2 Cr on January 02, 2024. Following the alterations, the bank is now offering a maximum return of 9.00% for senior citizens and 8.50% for the general public on a one-year tenure. After the change, Jana Small Finance Bank (SFB) is currently one of the banks offering elderly residents in the country the highest fixed deposit returns.