Fixed deposits (FDs) remain one of the most popular investment choices among Indian investors due to its guaranteed returns and capital safety. FDs are an attractive option for conservative investors as interest rates are still favourable and certain banks are providing returns up to 8.1 per cent annually.
For regular depositors, scheduled banks are offering FD rates that ranges from 2.5 per cent to 8.1 percent for tenures ranging from 7 days to 10 years, according to data as of June 17, 2026. The rate charts are still dominated by small finance banks, with a few private sector lenders coming in second.
Small finance banks
At 8.1 per cent annually, Suryoday Small Finance Bank and Utkarsh Small Finance Bank currently offer the highest FD interest rate among scheduled small finance banks.
Following closely behind with interest rates of up to 8 percent are Shivalik Small Finance Bank and Equitas Small Finance Bank. The maximum rate offered by ESAF Small Finance Bank is 7.75 per cent, whilst Jana Small Finance Bank’s is 7.77 per cent.
AU Small Finance Bank’s highest slab rate is 7.4 percent, whilst Ujjivan Small Finance Bank offers up to 7.55 per cent.
The rates offered by large private lenders are still relatively lower. The maximum FD rate offered by HDFC Bank and ICICI Bank is 6.5 percent, whereas the highest slab rate offered by Axis Bank is 6.45 per cent.
PSU banks
The rates offered by public sector banks are still somewhat low. Punjab & Sind Bank offers the highest interest rate on a specific duration deposit, at 6.85 per cent.
Bank of Baroda gives up to 6.75 per cent, while Indian Bank offers up to 6.8 percent. Union Bank of India and Bank of Maharashtra offers up to 6.65 per cent, whereas Bank of India only provides up to 6.7 per cent.
State Bank of India (SBI), the biggest lender in India, presently has a maximum FD rate of 6.45 per cent.
Top FD rates in June
