With the new year beginning, many investors are looking for safe and reliable ways to grow their money.
Fixed Deposits (FDs) remain a popular choice, especially for those who prefer stable returns.
One such option is Indian Bank’s FD scheme, where a deposit of ₹1 lakh can earn you fixed interest of up to ₹22,420.
Although the RBI reduced the repo rate by 1.25 percent in 2025—leading to lower interest rates on loans and deposits—FDs are still offering decent returns, particularly from public sector banks.
Indian Bank FD Interest Rates Explained
Indian Bank, a government-owned bank, is currently offering attractive interest rates on its fixed deposit schemes.
Customers can open FDs for periods ranging from 7 days to 10 years.
The bank’s FD interest rates range between 2.80 percent and 7.20 percent, depending on the tenure and the depositor’s age.
The highest interest rate of 7.20 percent is available under the bank’s special 444-day FD scheme.
Under this plan, general customers earn 6.45 percent interest, senior citizens get 6.95 percent, and very senior citizens receive 7.20 percent.
How Much Will ₹1 Lakh Grow in 3 Years?
For those looking at a longer investment period, Indian Bank’s 3-year FD scheme is another attractive option.
Under this scheme, the bank offers 6.05 percent interest to general customers, 6.55 percent to senior citizens, and 6.80 percent to super senior citizens.
If a general customer deposits ₹1 lakh for 3 years, the maturity amount will be ₹1,19,739, which includes ₹19,739 as interest.
Senior citizens investing the same amount will receive ₹1,21,520 at maturity, earning ₹21,520 as fixed interest.
Super senior citizens benefit the most, with a maturity amount of ₹1,22,420, which includes ₹22,420 in interest.
Why This FD Option Is Worth Considering
Indian Bank’s FD schemes offer a good balance of safety and returns, especially for conservative investors.
With guaranteed returns and flexible tenures, these deposits remain a reliable investment choice in a falling interest rate environment.
