FD Schemes 2025: Higher Returns for Investors as SBI, PNB, and HDFC Revise Rates

As the new year begins, major banks like State Bank of India (SBI), HDFC Bank, and Punjab National Bank (PNB) have raised their fixed deposit (FD) interest rates for various investor categories. These hikes, effective from January 1, 2025, offer better returns to both general and elderly citizens.

SBI’s Special FD Scheme for Super Senior Citizens
SBI has introduced a new category for super senior citizens (80 years and above), who will now enjoy an additional 10 basis points (bps) over regular senior citizens. For instance, SBI’s highest interest rate of 7.50% applies to deposits of 5-10 years for general senior citizens, with super seniors receiving a slightly higher rate.

The popular “444 Days” Amrit Vrishti scheme offers interest rates of 7.25% for the general public and 7.75% for senior citizens, providing highly competitive returns. This scheme is valid until March 31, 2025.

HDFC Bank Increases Bulk Deposit Rates
HDFC Bank has revised its interest rates on bulk fixed deposits ranging from ₹3 crore to ₹5 crore, effective December 2024. Rates for regular customers range between 4.75% and 7.40%, while senior citizens can earn up to 7.90% depending on the deposit term.

For example, a one-year FD offers 6.60% for regular depositors and 7.10% for senior citizens. A three-year FD earns 7% for regular customers and 7.50% for senior citizens.

PNB’s New FD Tenures with Increased Rates
Punjab National Bank has also raised its FD rates, particularly for deposits below ₹3 crore. New tenures include a 303-day FD at 7% for general citizens and 7.5% for senior citizens. For a 506-day tenure, interest rates are 6.7% for general depositors and 7.2% for senior citizens.

In addition, super senior citizens (80 years and above) will receive an additional 80 bps over the applicable rates, with retired staff members earning up to 180 bps more.

Why Fixed Deposits Are Popular
Fixed deposits continue to attract investors seeking safe, stable returns. The guaranteed interest rate, which remains constant throughout the deposit term, often exceeds that of regular savings accounts. This makes FDs a preferred choice for individuals who want to grow their savings with minimal risk.

With the recent revisions, SBI, HDFC, and PNB aim to offer attractive returns, particularly for senior and super senior citizens, ensuring a broad appeal to a wide range of customers.

These changes come at a time when many expect the Reserve Bank of India to adjust interest rates to boost economic growth, making FDs a timely investment option.