These SFBs Giving Better Returns Than Bigger Bank FDs On Special Tenure

Risk-averse investors, particularly FD investors can easily choose higher fixed deposits offered by banks and other financial institutions post the Reserve Bank of India (RBI) repo rate hike. The current repo rate after the hike is 6.50%. As a result of the repo rate hike, the interest rates on fixed deposits offered by the Banks, and NBFCs also go up, making them an appealing savings option.

FDs offer higher interest rates than savings accounts at banks. Fixed deposits are a secure investment choice that ensures constant interest rates, special interest rates, a variety of interest payment options, no market-related risks, and an income tax deduction.

Leading banks, both private and public banks, offer FDs, and so do post offices backed by the Govt. Of India. Other than banks, NBFCs and Post Offices, Small Finance Banks (SFBs) also offer appealing FD. These banks are spread all over India. With rates reaching 9.50%, SFB is among the highest fixed deposit interest rates.

Following are the list of SFBs offering higher returns than larger bank FDs:

1. Unity Small Finance Bank

The bank offers the highest interest rates of 9% to the general public and 9.50% to senior citizens on special FD tenure of 1001 days. The rates are revised from 15th February 2023.

2. Suryoday Small Finance Bank

The bank offers the highest interest rates of 8.51% to the general public and 8.76% to senior citizens on special FDs of 999 days. The interest rates are effective from March 01, 2023.

3. AU Small Finance Bank

The bank offers the highest interest rates of 8% to the general public and 8.24% to senior citizens on FDs tenure of 24 Months 1 Day to 36 Months. The interest rates are effective from March 3, 2023.

4. Fincare Small Finance Bank

The bank offers the highest interest rates of 8.11% to the general public and 8.71% to senior citizens on a special FD tenure of 750 days. The FDs come with Premature Withdrawal Facility. The FD rates are effective from February 13, 2023.

5. Utkarsh Small Finance Bank

The bank offers the highest interest rates of 8.25% to the general public and 9% to senior citizens on special FD tenure of 7oo days. These FDs come with the premature withdrawal facility. The FD rates are effective from February 27, 2023.

6. Equitas Small Finance Bank

The bank offers interest rates of 8.20% to the general public and 8.70% to senior citizens on special FD tenure of 888 days. The interest rates on FD are effective from 1 March 2023.

7. Jana Small Finance Bank

The bank offers interest rates of 8.10% to the general public and 8.80% to senior citizens for an FD tenure of 2 to 3 years. The interest rates on FDs are effective from 1st March to 31st March 2023, according to the Bank's official website.

8. North East Small Finance Bank

The bank offers interest rates of 8% to the general public and 8.75% to senior citizens on special FD tenure of 1111 days. The interest rates are effective from 1st February 2023 to 31st March 2023.

9. EASF Small Finance Bank

The bank offers an interest rate of 8.10% to the general public and 8.60% to senior citizens on special FD tenure of 999 days (2 years 8 months & 23 days). The interest rates are effective from 15 February 2023.

Note - The above interest rates are effective for the FD amounting below Rs 2 crore.