Top Govt. Banks That Offer Highest FD Rates Up To 7.90% On Select FD Tenure

Fixed deposits are a secure kind of investment that provide constant interest rates, special interest rates, a number of interest payment alternatives, no market-related risks, and income tax deductions.

Risk-averse investors can easily choose fixed deposits now as the Reserve Bank of India (RBI) has increased its repo rate to 6.50% because when the central bank raises the repo rate, interest rates on fixed deposits also go up, making them an appealing savings choice.

Here we have listed the top government bank that offers the highest interest rates on select FD tenure:

Punjab & Sind Bank

Punjab & Sind Bank offers the highest interest rates up to 7.10% on 400 days special tenure to the general public. This rate is valid from 1 April 2023 to 30 June 2023 only. Senior citizens are eligible to receive an additional interest rate of 0.50% on term deposits. These rates are effective from 1 April 2023.

Union Bank Of India

Union Bank Of India provides 7.30% interest rates to the general public on a special tenure of 800 days and 3 years, respectively. Senior citizens and super senior citizens are eligible to get an additional rate of 0.50% on term deposits up to Rs. 5.00 Crores in all of its domestic term deposits scheme. These rates are applicable from 25 November 2022.

Punjab Nation Bank

Punjab National Bank is offering the highest 7% interest rates to the general public, 7.50% to senior citizens and 7.80% to super senior citizens for the deposit period of above 2 years & up to 3 years. These interest rates are applicable with effect from 20 February 2023.

Canara Bank

The bank offers a maximum 7.25% interest rate to the general public and 7.75% interest rate for the deposit period of 444 days under the Callable deposit scheme. While under the Non-Callable deposit scheme (Above Rs 15 lakh) it offers a maximum 7.40% to the general public and 7.90% to senior citizens for the same deposit period. The above interest rates are effective from April 5, 2023.

State Bank of India (SBI)

SBI provides a maximum 7.10% interest rate to the general public on the 400 days (Special Scheme i.e. "Amrit Kalash") deposit period. Whereas for the same deposit period, the bank offers 7.60% interest rate to senior citizens. These interest rates are applicable from 12 April 2023 till 30 June 2023.

Bank of Baroda

Bank of Baroda offers 7.05% maximum interest rates to the general public for 399 days (Baroda Tiranga Plus Deposit Scheme). Under this deposit scheme, the bank offers maximum 7.55% interest rates to senior citizens. The above interest rates are applicable with effect from 17 March 2023.

Bank of India

Bank of India provides one of the highest interest rates on FDs. It offers maximum 7.15% interest rates to the general public on a deposit period of 501 days. The bank offers an additional 0.50% interest rate to senior citizens. According to the bank, "Additional premium of 25 bps, over & above the existing 50 bps will be paid to Senior Citizen's on their retail TD (Less than Rs. 2 Cr) for all the tenors above '3 Years' i.e. 75bps. The interest rates on the FD are effective from 1 April 2023.