Fixed Deposits (FDs) continue to be one of the most trusted investment options for senior citizens.
Unlike market-linked investments, FDs offer guaranteed returns and fixed interest rates for the chosen tenure, making them a popular choice among retirees looking for stable income and safety.
Another advantage is that senior citizens usually receive higher interest rates than regular customers.
However, FD rates vary from bank to bank and depend on the investment tenure.
If you’re planning to invest ₹10 lakh in an FD, here’s a look at the latest interest rates offered by major public sector banks and the maturity amount you can expect.
Why Senior Citizens Prefer Fixed Deposits
FDs are considered a low-risk investment because the returns are fixed at the time of investment.
Senior citizens can invest for periods ranging from 7 days to 10 years and enjoy higher interest rates compared to general customers.
This makes FDs a preferred option for those seeking regular and predictable returns.
SBI FD Rates for Senior Citizens
State Bank of India (SBI) offers attractive FD rates across different tenures.
1-Year FD: 6.75%
3-Year FD: 6.80%
5-Year FD: 7.05%
10-Year FD: 7.05%
Maturity Amount on ₹10 Lakh Investment
1 Year: ₹10,69,227.90
3 Years: ₹12,24,197.35
5 Years: ₹14,18,258.37
10 Years: ₹20,11,456.80
SBI offers one of the highest returns among PSU banks for long-term FD investments.
Bank of Baroda (BoB) FD Rates
Bank of Baroda offers competitive rates for senior citizens.
1-Year FD: 6.75%
3-Year FD: 6.75%
5-Year FD: 6.90%
10-Year FD: 7.00%
Maturity Amount on ₹10 Lakh Investment
1 Year: ₹10,69,227.90
3 Years: ₹12,22,392.97
5 Years: ₹14,07,842.17
10 Years: ₹20,01,597.34
A ₹10 lakh investment can grow to more than ₹20 lakh over 10 years with BoB’s FD scheme.
Punjab National Bank (PNB) FD Rates
Punjab National Bank provides different rates depending on the tenure.
1-Year FD: 6.75%
3-Year FD: 6.80%
5-Year FD: 6.85%
10-Year FD: 6.80%
Maturity Amount on ₹10 Lakh Investment
1 Year: ₹10,69,227.90
3 Years: ₹12,24,197.35
5 Years: ₹14,04,386.29
10 Years: ₹19,62,628.57
PNB remains a popular choice for investors looking for stable and secure returns.
Canara Bank FD Rates
Canara Bank offers a uniform interest rate across major FD tenures.
1-Year FD: 6.75%
3-Year FD: 6.75%
5-Year FD: 6.75%
10-Year FD: 6.75%
Maturity Amount on ₹10 Lakh Investment
1 Year: ₹10,69,227.90
3 Years: ₹12,22,392.97
5 Years: ₹13,97,498.68
10 Years: ₹19,53,002.55
The bank offers predictable returns for investors who prefer simplicity in their investment planning.
Central Bank of India FD Rates
Central Bank of India offers slightly lower rates compared to some other PSU banks.
1-Year FD: 6.60%
3-Year FD: 6.50%
5-Year FD: 6.50%
10-Year FD: 6.50%
Maturity Amount on ₹10 Lakh Investment
1 Year: ₹10,67,651.54
3 Years: ₹12,13,407.58
5 Years: ₹13,80,419.77
10 Years: ₹19,05,558.75
While the returns are comparatively lower, the bank continues to attract investors looking for safe investment options.
Which Bank Offers the Highest Return?
Among the PSU banks listed, SBI offers the highest maturity amount on a ₹10 lakh investment over both 5-year and 10-year tenures, thanks to its 7.05% interest rate for senior citizens.
For investors seeking long-term wealth creation through fixed deposits, even a small difference in interest rates can significantly impact the final maturity amount.
Key Takeaway
Fixed Deposits remain one of the safest investment options for senior citizens looking for guaranteed returns.
While all major PSU banks offer attractive FD schemes, interest rates and maturity amounts vary across banks and tenures.
Before investing, compare the latest FD rates carefully and choose a tenure that aligns with your financial goals and income requirements.
