Senior Citizen FD rates Oct 2026: Earn up to 8.5% interest | Public, private banks and SFB fixed deposit rates compared
Senior citizens looking to earn higher returns on their fixed deposits (FDs) may find better rates at banks revising their deposit rates in October 2026. The latest bank FD rate changes come amid shifting interest rate expectations following the Reserve Bank of India’s (RBI) 25-basis-point repo rate hike on October 7, which raised the policy rate from 5.25% to 5.50%.
Indian Bank has revised rates on select tenures of its domestic retail term deposits of less than ₹3 crore, effective October 23, 2026.
Its IND Grow (555-day) deposit rate has increased by 15 basis points to 6.80% from 6.65%, while the IND Prosper (777-day) deposit rate has risen by 15 basis points to 6.75% from 6.60%. Senior citizens can earn up to 7.30% and 7.25%, respectively, on these special-tenure deposits.
Shriram Finance has also hiked its fixed deposit rates from October 11, including rates for senior citizens and women.
However, comparing rates at individual banks may not provide the complete picture. Here is a look at the FD interest rates offered to senior citizens aged 60 and above by leading public sector, private, and small-finance banks in October 2026.
In October 2026, the highest slab FD rate is 7.45% per annum at Bank of India, followed by 7.35% at Punjab & Sind Bank. The highest slab means the maximum interest rate a bank offers on any eligible FD tenure for senior citizens, not necessarily for a 1-year, 3-year, or 5-year deposit.
| Public Sector Banks | Highest slab (% p.a.) | 1-year tenure | 3-years tenure | 5-years tenure |
| Bank of India | 7.45 | 7 | 7.45 | 6.75 |
| Punjab & Sind Bank | 7.35 | 6.35 | 6.35 | 6.45 |
| Bank of Baroda | 7.25 | 6.75 | 6.75 | 6.9 |
| Central Bank of India | 7.25 | 6.6 | 6.5 | 6.5 |
| Bank of Maharashtra | 7.15 | 6.9 | 5.75 | 5.5 |
| Indian Bank | 7.15 | 6.6 | 6.55 | 6.5 |
| Indian Overseas Bank | 7.1 | 7 | 6.6 | 6.6 |
| Canara Bank | 7.1 | 6.75 | 6.75 | 6.75 |
| Punjab National Bank | 7.1 | 6.75 | 6.8 | 6.6 |
| State Bank of India | 7.05 | 6.75 | 6.8 | 7.05 |
| Union Bank of India | 7.05 | 6.7 | 6.6 | 6.5 |
| UCO Bank | 6.95 | 6.35 | 6.5 | 6.5 |
*Source: paisabazaar; Interest rates as of 21 October 2026; Deposits below ₹3 crores
- 1-year FD: Bank of India and Indian Overseas Bank offer the highest rate of 7% per annum.
- 3-year FD: Bank of India offers 7.45% per annum.
- 5-year FD: State Bank of India (SBI) offers 7.05% per annum.
SBM Bank offers the highest slab rate of 8.15% per annum, followed by DCB Bank at 8% and Bandhan Bank at 7.95%.
| Private Banks | Highest slab (% p.a.) | 1-year tenure | 3-years tenure | 5-years tenure |
| SBM Bank | 8.15 | 7.6 | 7.6 | 7.5 |
| DCB Bank | 8 | 7.15 | 7.25 | 8 |
| Bandhan Bank | 7.95 | 7.5 | 7.75 | 6.6 |
| Dhanlaxmi Bank | 7.75 | 6.75 | 7 | 7 |
| IndusInd Bank | 7.75 | 7.25 | 7.75 | 7.15 |
| YES Bank | 7.75 | 7.15 | 7.75 | 7.5 |
| Tamilnad Mercantile Bank | 7.7 | 7.3 | 7.2 | 7.2 |
| City Union Bank | 7.5 | 6.9 | 6.75 | 6.75 |
| RBL Bank | 7.5 | 7.4 | 7.5 | 7.2 |
| Karnataka Bank | 7.4 | 6.9 | 6.55 | 6.55 |
| CSB Bank | 7.35 | 5.25 | 6 | 6 |
| IDFC FIRST Bank | 7.35 | 6.75 | 7.35 | 7 |
| South Indian Bank | 7.3 | 6.85 | 6.7 | 6.2 |
| Axis Bank | 7.25 | 6.75 | 7 | 7.25 |
| J&K Bank | 7.25 | 7.05 | 7.2 | 7.25 |
| Federal Bank | 7.2 | 6.75 | 7 | 6.9 |
| Karur Vysya Bank | 7.2 | 6.95 | 6.95 | 6.95 |
| Kotak Mahindra Bank | 7.15 | 7 | 6.9 | 6.75 |
| HDFC Bank | 7.1 | 6.75 | 6.95 | 6.9 |
| ICICI Bank | 7.1 | 6.75 | 6.95 | 6.9 |
| Nainital Bank | 7.1 | 6.25 | 6.75 | 6.25 |
| IDBI Bank | 7.05 | 6.7 | 6.85 | 6.75 |
| DBS Bank | 7 | 6.75 | 7 | 6.75 |
- Highest slab: SBM Bank offers 8.15% per annum.
- 1-year FD: SBM Bank offers 7.60% per annum.
- 3-year FD: Bandhan Bank, IndusInd, and Yes Bank offer 7.75% per annum.
- 5-year FD: DCB Bank offers 8% per annum.
Equitas Small Finance Bank, ESAF Small Finance Bank, and Suryoday Small Finance Bank offer the highest slab of 8.5% per annum among the small finance banks.
| SFBs | Highest slab (% p.a.) | 1-year tenure | 3-years tenure | 5-years tenure |
| Equitas Small Finance Bank | 8.5 | 7.6 | 7.6 | 7.5 |
| ESAF Small Finance Bank | 8.5 | 6.5 | 6.5 | 6.25 |
| Suryoday Small Finance Bank | 8.5 | 7.4 | 7.4 | 8.5 |
| Jana Small Finance Bank | 8.3 | 7.5 | 8.3 | 7.77 |
| Ujjivan Small Finance Bank | 8.3 | 7.75 | 7.75 | 7.7 |
| Shivalik Small Finance Bank | 8.25 | 6.25 | 7.75 | 6.5 |
| Utkarsh Small Finance Bank | 8.25 | 6.5 | 8 | 7.5 |
| Unity Small Finance Bank | 8 | 8 | 7.25 | 7.25 |
| AU Small Finance Bank | 7.9 | 6.85 | 7.9 | 7.25 |
| Capital Small Finance Bank | 7.6 | 7.6 | 7.4 | 7.3 |
| Fincare Small Finance Bank | 7.6 | 6.85 | 7.6 | 7.25 |
- Highest slab: Equitas, ESAF and Suryoday Small Finance Banks offer 8.5% per annum.
- 1-year FD: Unity Small Finance Bank offers 8% per annum.
- 3-year FD: Jana Small Finance Bank offers 8.3% per annum.
- 5-year FD: Suryoday Small Finance Bank offers 8.5% per annum.
Among public sector banks, private sector banks, and small finance banks, small finance banks offer the highest FD interest rates for senior citizens in October 2026, with Equitas Small Finance Bank, ESAF Small Finance Bank and Suryoday Small Finance Bank offering up to 8.5% per annum.
Among public sector banks, Bank of India offers the highest FD rate of 7.45%. Among private sector banks, SBM Bank leads with 8.15% per annum.
Sheetal Goel is a Content Producer at Livemint, where she covers corporate developments, personal finance, business trends, markets, and SEBI-related updates. She focuses on simplifying complex financial concepts and presenting them in a clear, reader-friendly manner, thereby helping audiences better understand investment trends, personal finance, and market developments. Her writing focuses on making finance more accessible to everyday readers while maintaining clarity, accuracy, and relevance. <br><br> She holds a degree in Economics (Hons.) along with an MBA in Finance, which has helped her develop a strong foundation in financial analysis, market understanding, and business reporting. Before joining journalism, she worked with finance and broking firms, where she closely followed market developments, investment strategies, and evolving industry trends. This practical exposure strengthened her understanding of financial markets. She has also written content across multiple formats and platforms, including YouTube, LinkedIn, and Instagram. <br><br> Over time, she has developed expertise in covering market-linked stories, investor-focused topics, and regulatory updates in a simplified yet informative style. She also enjoys reading and listening to Hindi poetry, reflecting her appreciation for literature and creative expression beyond the world of markets and numbers.
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