Senior Citizen FD offers 7% interest in several banks across different tenures, making these fixed deposits an option for retirees looking for predictable returns.
The source lists schemes from Bank of Baroda, Bank of India, Indian Overseas Bank, IDFC FIRST Bank, Federal Bank, Axis Bank and Standard Chartered Bank.
Fixed deposits remain a popular investment choice among senior citizens because the interest rate is fixed for the selected tenure. Banks also generally offer senior citizens higher interest rates than regular customers.
Senior Citizen FD offers 7% interest
For senior citizens investing a lump sum, even a small difference in the interest rate can affect the maturity amount. Investors should also check the FD tenure, premature withdrawal rules and available interest payout options before making a decision.
According to the provided figures, Bank of Baroda offers 7% interest to senior citizens on its 10-year FD. A ₹10 lakh deposit is stated to grow to ₹20,01,597 at maturity.
Bank of India offers 7% interest to senior citizens on its 1-year FD. A ₹10 lakh deposit is stated to mature at ₹10,71,859 after one year.
Indian Overseas Bank also offers 7% interest to senior citizens on its 1-year FD. On a ₹10 lakh deposit, the stated maturity amount is ₹10,71,859.
7% FD options across different tenures
IDFC FIRST Bank offers a 7% interest rate to senior citizens on its 5-year FD scheme. According to the provided figures, a ₹10 lakh deposit would mature at ₹14,14,778.
Federal Bank offers 7% interest to senior citizens on its 3-year FD scheme. A ₹10 lakh investment is stated to grow to ₹12,31,439 at maturity.
Axis Bank also offers 7% interest to senior citizens on its 3-year FD. The provided maturity calculation shows ₹12,31,439 on a ₹10 lakh deposit.
Standard Chartered Bank offers 7% interest to senior citizens on its 3-year FD scheme. A ₹10 lakh deposit is stated to mature at ₹12,31,439.
Compare FD tenure and maturity amount
The listed banks offer the 7% senior citizen rate for different periods, ranging from one year to 10 years. Therefore, investors should not compare the interest rate alone and should also consider how long their money will remain invested.
Senior citizens can also check whether they want interest paid monthly, quarterly or at maturity, depending on the FD option available. Premature withdrawal conditions should also be reviewed before investing.
The maturity amounts mentioned above are based on the figures provided in the source. Investors should check the latest interest rates, applicable terms and exact maturity calculation with the respective bank before opening an FD.
