Top 5 Banks Offering Returns Up To 6.75% On 1 Year Fixed Deposits

As fixed deposit investments have a variable tenure ranging from 7 days to 10 years, they can be used to meet a variety of personal financial goals, spanning short-term, mid-term, and long-term purposes. To ensure liquidity when it is needed, as well as renewing short-term fixed bank deposits once they mature. short-term fixed deposits are always the best option. The RBI, on the other hand, agreed not to alter the repo and reverse repo rates during its bi-monthly monetary policy review meeting on October 8, 2021. According to experts, the Reserve Bank of India (RBI) may hike repo rates in the near future if certain economic and financial conditions exist, such as high inflation, and it is recommended that you do not lock in your deposits for a long period of time at a lower rate, as this will expose you to interest rate risk.

In the current environment of low-interest rates on bank fixed deposits, it is preferable to initiate a fixed deposit investment for a short period of time, assume one year, and then wait for interest rates to rise in the future so that you can renew your deposits and reinvest for a longer period of time at higher rates. As a result, for investors looking to invest in one-year fixed deposits at higher rates, here are the top five banks, based on our own analysis, that are now offering returns of up to 6.75 percent with DICGC deposit insurance coverage of up to Rs 5 lakhs.

Jana Small Finance Bank

Jana Small Finance Bank, one of the small finance banks, is currently offering regular customers and senior citizens an interest rate of 6.25 percent and 6.75 percent on one-year deposits, respectively. On 07/05/2021, the bank officially modified its fixed deposit interest rates, which are as follows:

Period	Regular FD Interest Rate (p.a.)	Senior Citizen FD Interest Rate (p.a.)
7-14 days	2.50%	3.00%
15-60 days	3.00%	3.50%
61-90 days	3.75%	4.25%
91-180 days	4.50%	5.00%
181-364 days	5.50%	6.00%
1 Year[365 Days]	6.25%	6.75%
Source: Bank Website

Utkarsh Small Finance Bank

This small finance bank is now promising an interest rate of 6.25% to the general public and 6.75% to senior citizens on their deposits maturing in 365 Days to 699 Days. For a deposit amount of less than Rs 2 Cr, the bank has last revised its interest rates on July 01, 2021 which is as follows.

Period	Regular FD Interest Rate (p.a.)	Senior Citizen FD Interest Rate (p.a.)
7 Days to 45 Days	3.00%	3.50%
46 Days to 90 Days	3.25%	3.75%
91 Days to 180 Days	4.00%	4.50%
181 Days to 364 Days	5.75%	6.25%
365 Days to 699 Days	6.25%	6.75%
Source: Bank Website

ESAF Small Finance Bank

ESAF SFB is also offering an interest rate of 6.25% to non-senior citizens and 6.75% to senior citizens on their term deposits maturing in 365 days & 366 days. For a deposit amount of less than Rs.200 lakhs, the most recent interest rates on fixed deposits of the bank are listed below.

Period	Normal Rate (%)	Rate for Senior Citizens (%)
7 days to 14 days	4.00%	4.50%
15 days to 59 days	4.50%	5.00%
60 days to 90 days	5.25%	5.75%
91 days to 181 days	5.50%	6.00%
182 days	5.00%	5.50%
183 days to 363 days	6.00%	6.50%
364 days	5.25%	5.75%
365 days & 366 days	6.25%	6.75%
Source: Bank Website

RBL Bank

RBL Bank is currently offering a 6.00 percent interest rate to the general public and 6.50 percent to senior citizens on deposits maturing in 12 months to less than 24 months. The bank's most current interest rates on fixed deposits for domestic, NRO, NRE, and Flexi Fixed Deposits are provided below.

Period of Deposit	Interest Rates p.a.	Senior Citizen Interest Rates p.a.
7 days to 14 days	3.25%	3.75%
15 days to 45 days	3.75%	4.25%
46 days to 90 days	4.00%	4.50%
91 days to 180 days	4.50%	5.00%
181 days to 240 days	5.00%	5.50%
241 days to 364 days	5.25%	5.75%
12 months to less than 24 months	6.00%	6.50%
Source: Bank Website

IndusInd Bank

IndusInd Bank is currently offering an interest rate of 6.00 percent to the general public and 6.50 percent to senior citizens on domestic/NRO/NRE/Senior Citizen Fixed Deposits maturing in 1 year to less than 1 year 6 months. The bank's current fixed deposit rates for deposits less than Rs 2 crore are mentioned below.

Period	Normal Rate (%)	Rate for Senior Citizens (%)
7 days to 14 days	2.5	3
15 days to 30 days	2.75	3.25
31 days to 45 days	3	3.5
46 days to 60 days	3.25	3.75
61 days to 90 days	3.4	3.9
91 days to 120 days	3.75	4.25
121 days to 180 days	4.25	4.75
181 days to 210 days	4.6	5.1
211 days to 269 days	4.75	5.25
270 days to 354 days	5.5	6
355 days to 364 days	5.5	6
1 Year to below 1 Year 6 Months	6	6.5
Source: Bank Website