3-year bank FDs: SBI, ICICI Bank, HDFC Bank interest rates compared

3-year bank FDs: SBI, ICICI Bank, HDFC Bank interest rates compared

State Bank of India or SBI is offering an interest rate of 6.75% for fixed deposits of 2-3 year term and 6.85% for 5-10 year period. Photo: iStock

State Bank of India or SBI is offering an interest rate of 6.75% for fixed deposits of 2-3 year term and 6.85% for 5-10 year period. Photo: iStock

When the share markets are volatile it is considered a good idea to add some debt to your investment portfolio. One of the safer ways to earn something from your idle savings is investing in bank fixed deposits. While the interest rates of bank FDs had been on a downswing in the past, recently all the three major banks — SBI, ICICI Bank and HDFC Bank — have increased their FD rates, making them more attractive.

SBI fixed deposit interest rates:

If you are planning to invest some of your savings in fixed deposits above 2 years and up to three years, then the State Bank of India (SBI) is offering 6.75% interest. The interest rate was revised by 10 basis points with effect from July 30 this year. If you keep your money with SBI for a period above 1 year to less than 2 years then you get 5 basis points less interest (6.70%) but if you keep it for 3 years to less than 5 years you get 5 basis points extra interest (6.80%). As your term increases, so does the interest rate.

SBI’s highest interest rate for fixed deposits is 6.85% which is for 5 years and upto 10 years term period.

SBI’s highest interest rate for fixed deposits is 6.85% which is for 5 years and upto 10 years term period.

ICICI Bank FD interest rates:

ICICI Bank, on the other hand, offers 7.5% interest for all term deposits above 2 years and up to 3 years. This interest rate, which is the highest ICICI Bank offers across all tenors, was increased by 25 basis points with effect from November 15. If you keep your money for a period of 1 year to 389 days, then the FD will fetch you a return of 6.90% while the 390 days to 2 years period attracts an interest rate of 7.10%.

ICICI Bank offers an interest rate of 6.75% on FDs above 290 days and less than a year.

ICICI Bank offers an interest rate of 6.75% on FDs above 290 days and less than a year.

HDFC Bank FD interest rates:

HDFC Bank’s highest interest rate is also for tenors of 2-3 years where the returns are 7.4% per annum. If you increase or decrease the time period then the interest rate also decreases. For a deposit period of 1 year to 2 years, your investment fetches you a return of 7.30%.

A one-year-long FD at HDFC Bank draws an interest rate of 7.3% while the two-year one will fetch you 10 basis points more interest.

A one-year-long FD at HDFC Bank draws an interest rate of 7.3% while the two-year one will fetch you 10 basis points more interest.

In all the above term deposits, senior citizens get 0.5% extra interest. The rates are for deposits less than Rs 1 crore.