Top 5 -Years Fixed Deposits in India

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Updated On – 15 Jan 2025

Investors can choose from a wide range of fixed deposits (FD) that offer a high rate of interest for 5 years. Generally, most 5 – year fixed deposit schemes come as tax saver plans but one can also opt for other types of FDs in this tenure range. Check Your Credit Score Now

Top 5 – years FD Rates of Popular Banks

The following are the top 5 – year FD rates of some the popular Indian Banks:

Name of Bank	For General Citizens (p.a.)	For Senior Citizens (p.a.)
HDFC Bank FD	7.00% p.a.	7.50% p.a.
Axis Bank FD	7.00% p.a.	7.75% p.a.
ICICI Bank FD	7.00% p.a.	7.50% p.a.
SBM Bank FD	7.75% p.a.	8.25% p.a.
YES Bank FD	7.25% p.a.	8.00% p.a.
RBL Bank FD	7.10% p.a.	7.60% p.a.
DBS Bank FD	6.50% p.a.	7.00% p.a.
IDFC First Bank FD	6.75% p.a.	7.25% p.a.
IndusInd Bank FD	7.25% p.a.	7.75% p.a.
Indian Overseas Bank FD	6.50% p.a.	7.00% p.a.
Punjab National Bank FD	6.50% p.a.	7.00% p.a.
Federal Bank FD	7.10% p.a.	7.75% p.a.
State Bank of India FD	6.50% p.a.	7.50% p.a.
IDBI Bank FD	6.50% p.a.	7.00% p.a.
Indian Bank FD	6.25% p.a.	6.75% p.a.
Jammu & Kashmir Bank FD	6.50% p.a.	7.00% p.a.
Kotak Mahindra Bank FD	6.20% p.a.	6.70% p.a.
Bank of Baroda FD	6.80% p.a.	7.40% p.a.
UCO Bank FD	6.20% p.a.	6.70% p.a.
Dhanlaxmi Bank FD	7.25% p.a.	7.75% p.a.
Punjab & Sind Bank FD	6.00% p.a.	6.50% p.a.
South Indian Bank FD	6.00% p.a.	6.50% p.a.
Tamilnad Mercantile Bank FD	6.50% p.a.	7.00% p.a.
Bank of Maharashtra FD	6.50% p.a.	7.00% p.a.
Central Bank of India FD	6.50% p.a.	7.00% p.a.
Nainital Bank FD	5.75% p.a.	6.25% p.a.
Karnataka Bank FD	6.50% p.a.	7.00% p.a.
Bandhan Bank FD	5.85% p.a.	6.60% p.a.
HSBC Bank FD	6.00% p.a.	6.50% p.a.

*Note: Deposit rates are dynamic and can be updated by banks without prior notice

Top 5 – year FD Rates of NBFC (Non Banking Financial Company)

The following is the list of top 5 – year FD interest rates of NBFCs:

Name of Bank	For General Citizens (p.a.)	For Senior Citizens (p.a.)
LIC Housing Finance FD	7.75% p.a. (up to deposit of Rs.20 crore for cumulative)	8.00% P.a. (up to deposit of Rs.2 crore)
PNB Housing Finance FD	7.60% P.a. (cumulative)	7.60% p.a. (cumulative up to Rs.1 crore)

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Top 5 – year FD Rates of Small Finance Banks

The following are the top 5 – year FD interest rates of Small Finance Banks in India:

Name of Bank	For General Citizens (p.a.)	For Senior Citizens (p.a.)
Suryoday Small Finance Bank FD	8.25% p.a.	8.75% p.a.
Unity Small Finance Bank FD	8.15% p.a.	8.65% p.a.
Utkarsh Small Finance Bank FD	7.75% p.a.	8.35% p.a.
Jana Small Finance Bank FD	6.60% p.a.	6.60% p.a.
Ujjivan Small Finance Bank FD	6.50% p.a.	7.00% p.a.
Au Small Finance Bank FD	7.25% p.a.	7.75% p.a.
Capital Small Finance Bank FD	7.10% p.a.	7.60% p.a.
North East Small Finance Bank FD	6.25% p.a.	6.75% p.a.
Equitas Small Finance Bank FD	7.25% p.a.	7.75% p.a.
Shivalik Small Finance Bank FD	6.25% p.a.	6.75% p.a.
ESAF Small Finance Bank FD	6.25% p.a.	6.75% p.a.

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Key highlights on 5 – year FD Rates

The highest 5-year FD rates for General Citizens are offered by Jana Small Finance Bank at 8.20% p.a., followed by Unity Small Finance Bank at 8.15% p.a., and Federal Bank also providing competitive returns.
Senior Citizens can benefit from even higher rates, with Suryoday Small Finance Bank leading at 8.75% p.a., followed by Unity Small Finance Bank at 8.65% p.a., and SBM Bank at 8.25% p.a.
Non-banking institutions like PNB Housing Finance and LIC Housing Finance provide attractive fixed deposit options with competitive rates, making them strong alternatives for investment.

Top 5 Banks for General Citizens:

Suryoday Small Finance Bank: Leading the list, this bank offers the highest 5-year FD rate for General Citizens at 8.25% p.a., making it an attractive option for those seeking secure and high returns on their deposits.
Jana Small Finance Bank: Jana Small Finance Bank offers the 5-year FD scheme with an interest rate of 8.20% p.a.

Unity Small Finance Bank: Offering a rate of 8.15% p.a., Unity Small Finance Bank presents a strong option for General Citizens looking for a balance between a high return and financial stability.
Deutsche Bank: Closely following, Deutsche Bank provides a competitive FD rate of 7.50% p.a., ensuring significant returns while maintaining the security of a traditional banking institution.
SBM Bank: With a rate of 7.75% p.a., SBM Bank stands out as a reliable choice for investors who prioritise safety without compromising too much on returns.

Top 5 Banks for Senior Citizens:

Suryoday Small Finance Bank: Senior Citizens can benefit from the highest FD rate available at 8.75% p.a., making it an ideal choice for those looking to maximise their interest earnings in retirement.
SBM Bank: Offering a rate of 8.25% p.a., SBM Bank provides Senior Citizens with a favourable combination of high returns and financial security.
Unity Small Finance Bank: At 8.65% p.a., Unity Small Finance Bank offers one of the highest FD rates for Senior Citizens, appealing to those seeking higher income from their deposits.
Jana Small Finance Bank: Senior citizens are offered an interest rate of 8.20% p.a. on investment made on the 5-year FD scheme offered by Jana Small Finance Bank.
Punjab National: Completing the top five, Punjab National Bank offers a rate of 7.00% p.a., making it a strong contender for Senior Citizens looking for secure and profitable fixed deposit options.
Punjab National: Completing the top five, Bandhan Bank offers a rate of 7.30% p.a., making it a strong contender for Senior Citizens looking for secure and profitable fixed deposit options.

Top 5 Small Finance Banks for General Citizens:

Suryoday Small Finance Bank: Dominating the Small Finance Bank category, Suryoday offers a leading rate of 8.25% p.a., making it the top choice for General Citizens.
Jana Small Finance Bank: Jana Small Finance Bank offers the 5-year FD scheme with an interest rate of 8.20% p.a.
Unity Small Finance Bank: With a rate of 8.15% p.a., Unity Small Finance Bank is a close second, offering competitive returns.
Utkarsh Small Finance Bank: Providing a rate of 7.75% p.a., Utkarsh Small Finance Bank offers a strong option for General Citizens seeking a good balance between risk and return.

Top 5 Small Finance Banks for Senior Citizens:

Suryoday Small Finance Bank: Once again leading the pack, Suryoday offers Senior Citizens the highest rate at 8.75% p.a., ensuring maximum returns.
Unity Small Finance Bank: Offering a competitive rate of 8.65% p.a., Unity Small Finance Bank provides Senior Citizens with a strong option for securing high interest on their savings.
Utkarsh Small Finance Bank: With a rate of 8.35% p.a., Utkarsh Small Finance Bank remains a solid choice for Senior Citizens looking for profitable investments.
AU Small Finance Bank and Equitas Small Finance Bank: Both offering a rate of 7.75% p.a., these banks provide steady and secure options for Senior Citizens to grow their savings.

Non-Banking Financial Companies (NBFCs):

PNB Housing Finance: Offering a rate of 7.60% p.a. for General Citizens and an enhanced 7.60% p.a. for Senior Citizens on cumulative deposits up to Rs.1 crore, PNB Housing Finance is a strong alternative to traditional banks for fixed deposits.
LIC Housing Finance: Providing a rate of 7.75% p.a. for deposits up to Rs.20 crore for General Citizens, and 8.00% p.a. for Senior Citizens for deposits up to Rs.2 crore, LIC Housing Finance offers competitive rates in the non-banking sector, appealing to those seeking safe and profitable investment options.

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5-Year Fixed Deposit Rates (2024) for Select Banks

HDFC Bank: HDFC Bank offers a 5-year FD rate of 7.00% p.a., making it a competitive option for those looking for stable returns from a trusted banking institution. The rate for Senior Citizens is higher at 7.50% p.a., providing an added advantage for retirees seeking to maximise their interest earnings.
State Bank of India (SBI): SBI provides a 5-year FD rate of 6.50% p.a., offering a secure and reliable investment option from India’s largest public sector bank. Senior Citizens can benefit from a slightly higher rate of 7.00% p.a., ensuring steady returns with the security of a government-backed institution.
ICICI Bank: ICICI Bank offers a 5-year FD rate of 6.90% p.a., providing competitive returns in line with other leading private sector banks. The rate for Senior Citizens is 7.40% p.a., offering an enhanced interest rate for those in retirement.
Yes Bank: Yes Bank provides a 5-year FD rate of 7.25% p.a., offering one of the higher rates among private banks, making it an appealing choice for those seeking higher returns. The rate for Senior Citizens is even more attractive at 8.00% p.a., positioning Yes Bank as a strong option for maximising savings.
Axis Bank: Axis Bank offers a 5-year FD rate of 7.00% p.a., providing solid returns with the backing of a well-established private bank. Senior Citizens receive a higher rate of 7.75% p.a., making it a favourable choice for those seeking secure investments with good interest rates.
Kotak Mahindra Bank: Kotak Mahindra Bank offers a 5-year FD rate of 6.20% p.a., slightly lower than some of its peers, but still a safe and reliable option. The rate for Senior Citizens is 6.70% p.a., offering modest returns for those looking for security in their investments.
IDBI Bank: IDBI Bank provides a 5-year FD rate of 6.50% p.a., offering competitive returns with the stability of a public sector bank. Senior Citizens can benefit from a higher rate of 7.00% p.a., ensuring better earnings on their fixed deposits.
HSBC Bank: HSBC Bank offers a 5-year FD rate of 6.00% p.a., providing a secure investment option with the backing of a global financial institution. The rate for Senior Citizens is 6.50% p.a., offering decent returns with the added security of a well-established international bank.
Bank of Baroda: Bank of Baroda offers a 5-year FD rate of 6.80% p.a. Senior Citizens benefit from a higher rate of 7.40% p.a., making it an attractive choice for those looking to maximise their interest earnings in retirement.

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FAQs on 5 – Year Tenure FD Rates

Can I invest more than Rs.1.5 lakh in 5 – year fixed deposits?Yes, you can invest more than Rs.1.5 lakh in normal 5 – year fixed deposits. The maximum limit of Rs.1.5 lakh is only for tax-saver FDs which also have a 5 – year tenure which is also a lock-in period.
Can I break a 5-year fixed deposit before maturity?Yes, you can break a regular 5 – year fixed deposit before maturity. However, you will have to pay a penalty for such premature withdrawals.
Are all 5-year tenure FDs also tax-saver FDs?No, banks offer a separate type of FD called tax-saver FDs which have benefits of tax exemption under Section 80C of the Income Tax Act. However, these tax-saver FDs also come with a lock-in period and a maximum tenure of 5 years, which means there is no facility for premature withdrawal. However, if you book a normal fixed deposit for up to 5 years, and not under the tax-saver FD scheme, premature withdrawal is allowed subject to a penalty which varies from bank to bank.
Is the nomination facility available for 5 – year fixed deposits?While this depends on the bank, most do offer nomination facility for all 5 – year tenure fixed deposit accounts.
Is the interest on a 5 – year fixed deposit taxable?Regular and tax-saving fixed deposits are two separate types of investments. The deposit amount in a regular FD is subject to tax. Also, in a financial year, the interest received on fixed deposits is tax-free only up to Rs.40,000 for the general public and Rs.50,000 for senior citizens.

Courtsey To : Bankbazaar