Mumbai: Federal Bank has enhanced the additional interest rate benefit offered to senior citizens on term deposits from 0.50% to 0.60%. With this revision, senior citizens can now earn up to 7.50% per annum on term deposits for select tenor, among the most competitive rates available in the market.
The revised rates are applicable for deposit tenures of 18 months and 2 years to less than 3 years. Senior Citizens can avail:
- 7.40% p.a. on term deposits with premature withdrawal facility, translating into an effective annualized yield of up to 8.18% for a 35-month tenure. 7.50% p.a. on term deposits of ₹1 crore and above without premature withdrawal facility, offering an effective annualized yield of up to 8.30% for a 35-month tenure.
- For the same tenures, the general public (including NRIs) will also be eligible for interest rates of 6.80% p.a. and 6.90% p.a., respectively. The revised interest rates are effective from November 12, 2026, and are applicable to a single term deposits below ₹3 crore.
Speaking on the enhancement, Joy P V, EVP & Country Head – Retail Liability & Fee Products, Federal Bank said, “The revised rates reinforce our commitment to providing superior value to customers, especially senior citizens seeking stable and rewarding investment opportunities. With guaranteed returns coupled with the flexibility of premature withdrawal, these deposits offer an ideal savings avenue for customers looking for safety, liquidity and competitive earnings.”
Customers can book term deposits through any Federal Bank branch or conveniently through the Bank’s digital channels. For detailed terms and conditions, customers may visit the nearest Federal Bank branch or log on to the Bank’s website.
