Here’s a list of private sector banks offering an interest rate of up to 8.1% on senior citizen FDs:
DCB Bank senior citizen FD rates
DCB Bank offers an interest rate of 8.1% to senior citizens on FDs maturing between 26 months and less than 37 months.
RBL Bank senior citizen FD rates
RBL Bank offers an interest rate of 8% on senior citizens FD maturing between 24 months 1 day and 36 months.
IndusInd Bank senior citizen FD rates
IndusInd Bank offers an interest rate of 8% on senior citizens FD maturing between 2 years 9 months and 3 years 3 months.
| Bank | Interest Rate |
| DCB Bank | 8.10% |
| RBL Bank | 8% |
| IndusInd Bank | 8% |
| IDFC Bank | 7.75% |
| ICICI Bank | 7.50% |
Data as of January 3, 2024
Source: Paisabazaar.com
IDFC Bank senior citizen FD rates
IDFC Bank offers an interest rate of 7.75% to senior citizens’ FD maturing between 2 years 1 day and 3 years.
ICICI Bank senior citizen FD rates
ICICI Bank offers an interest rate of 7.5% to senior citizens on FDs maturing between 2 years 1 day and 3 years.
When does TDS get deducted from senior citizen FDs?
Senior citizens investing in FDs should note that if the interest income from all the FDs in any particular bank is more than Rs 50,000 then the said bank will deduct tax deducted at source (TDS). Presently the rate of TDS is 10%. However if a senior citizen does not give his/her permanent account number (PAN), then the rate of TDS is 20%. One respite is that if a senior citizen does not have a gross income above the basic exemption limit, then he/she can submit Form 15H to banks so that TDS is not deducted.
Further, even if a senior citizen has a gross income above the basic exemption limit, he/she can get a TDS refund if their net tax liability is less than the amount deducted under TDS or is nil. But for this purpose, a senior citizen has to file their income tax return (ITR).