Amid the rising interest rate regime, some banks are providing special fixed deposits (FDs) with irregular tenors of days rather than months or years—that effectively guarantee higher interest rates than traditional FDs. Since May of this fiscal year, the RBI has raised the repo rate by a total of 250 basis points to 6.50 percent. As a result, most banks have raised their fixed deposit interest rates this year to attract depositors. The following 5 special FDs from various banks, including SBI, that will expire in March 2023 are indicated for depositors who desire to earn a decent return on special fixed deposits before they expire.
SBI Special FDs
State Bank of India (SBI), the largest lender in the nation, introduced a specific tenor scheme dubbed “400 days” (Amrit Kalash) on February 15, 2023, with an interest rate of 7.60% for senior citizens and 7.10% for the general public. This special deal, according to SBI, is active until March 31, 2023.
The SBI WeCare FD, on the other hand, is a special fixed deposit programme available solely to senior citizens. On March 31, 2023, SBI will discontinue its WeCare FD programme after many extensions. An additional premium of 30 basis points over and above the existing 50 basis points will be provided to senior citizens on their retail term deposit for 5 years and above tenor solely under the SBI Wecare Deposit for senior citizens announced by the bank in 2022.
HDFC Bank Special FD
The largest private sector lender in the nation, HDFC Bank, launched “Senior Citizen Care FD,” a special term deposit product for elderly individuals, on May 18, 2020. Under a special deposit offer running from May 18, 2020 to March 31, 2023, HDFC Bank promises to give elderly persons who want to book a fixed deposit of less than 5 crores for a term of 5 (five) years and 1 day to 10 years an additional premium of 0.25% over and above the existing premium of 0.50%.
According to the bank, this special deal is only valid for senior citizens who book new fixed deposits or renew existing ones within the aforementioned period. Non-Resident Indians are not eligible for this offer. On HDFC Senior Citizen Care FD, the bank promises an interest rate of 7.75% to senior citizens, which is 75 bps higher than the regular rate of 7%.
Indian Bank Special FD
A special retail term deposit product called “Ind Shakti 555 Days” with higher interest rates for both the general public and older persons was launched by public sector lender Indian Bank on December 19, 2022. “Special Retail Term Deposit Product “IND SHAKTI 555 DAYS” has been launched w.e.f 19.12.2022 offering a higher rate of interest for investment starting from Rs.5000 to less than 2 Crore for 555 days in the form of FD/MMD with callable options. Scheme Valid till 31.03.2023,” mentioned Indian Bank on its website. On this special fixed deposit, non-senior citizens will get an interest rate of 7% and senior citizens can earn as high as 7.50%.
IDBI Bank Special FD
The private sector lender IDBI Bank introduced the “IDBI Naman Senior Citizen Deposit,” a special fixed deposit, for senior citizens on April 20, 2022. The program’s tenor ranges from more than a year to up to ten years, and it is available until the end of 31st March 2023.
According to IDBI Bank, under this programme, senior citizen residents will receive an additional interest rate of 0.25% over and above the existing additional rate of 0.50% annually, taking the total benefit to 75 bps for senior citizens over and above the standard rates. The additional rate will be available on new deposits registered as well as deposits renewed throughout the program’s period.
Punjab & Sind Bank Special FD
This public sector lender is offering 4 special fixed deposit schemes, PSB Fabulous 300 Days, PSB Fabulous Plus 601 Days, PSB e-Advantage Fixed Deposit and PSB-Utkarsh 222 Days for its customers. All these schemes of Punjab & Sind Bank are going to end on 31st March 2023, according to the official website of the lender.
PSB Fabulous 300 Days as the name suggests comes with a tenor of 300 days only, under which the bank is promising an interest rate of 7.50% p.a for the general public, 8.00% for senior citizens and 8.35% for super senior citizens.
Under the PSB Fabulous Plus 601 Days scheme, non-senior citizens will get an interest rate of 7%, senior citizens can earn 7.50% and super senior citizens can earn as high as 7.85% on 601 days of tenor.
“PSB e-Advantage Fixed Deposit- A Digital Only Fixed Deposit Account” is being offered by Punjab & Sind Bank for a tenor of 601 days and under the scheme, the general public can get 7% return, senior citizens can earn 7.50% and super senior citizens can earn 7.85%.
PSB-Utkarsh 222 Days as the name suggests comes with a tenure of 222 days, and on the scheme, Punjab & Sind Bank is promising an interest rate of 7.75% for the general public, 8.25% for senior citizens and 8.60% for super senior citizens.