Investing in Fixed Deposits (FDs) is one of the safest and most popular ways to grow your savings. With guaranteed returns and low risk, FDs offer a reliable investment option for those looking to earn steady interest. Recently, several banks have introduced special FD schemes with tenures of 400, 444, and 555 days, offering higher interest rates to attract depositors.
These schemes provide better returns than regular FDs and are ideal for short-to-medium-term financial planning. In this article, we’ll explore the best FD schemes, their interest rates, and how you can maximize your earnings.
Bank FD Interest
| Feature | Details |
|---|---|
| Best FD Tenures | 400 Days, 444 Days, 555 Days |
| Top Banks Offering Special FDs | SBI, IDBI Bank, Indian Bank, Punjab & Sind Bank |
| Highest Interest Rates (General Citizens) | 7.45% to 7.90% |
| Highest Interest Rates (Senior Citizens) | 7.60% to 8.05% |
| Eligibility | Indian residents, senior citizens, NRIs (varies by bank) |
| Minimum Deposit Amount | ₹5,000 to ₹10,000 (varies by bank) |
| Maximum Deposit Limit | No upper limit (for most banks) |
| Tax Implications | TDS applicable if interest exceeds ₹40,000 (₹50,000 for senior citizens) |
| Penalty on Premature Withdrawal | 0.5% to 1.0% reduction in interest rate |
Fixed Deposits remain one of the safest and most reliable investment options in India. With banks offering special FD schemes for 400, 444, and 555 days, investors have an opportunity to earn higher interest rates in a secure and risk-free manner. Before investing, compare rates, check tax implications, and choose the FD scheme that best suits your financial goals.
Why Invest in Special FD Schemes?
These special tenure FDs offer higher interest rates compared to standard FD schemes. Since they are designed for specific timeframes, banks often offer a premium on interest rates to attract depositors. If you’re looking for a safe investment option with better returns, these FDs could be a perfect choice.
see also: 6 Crucial Financial Deadlines in March 2025 Don’t Miss These Important Dates
Best FD Schemes for 400, 444, and 555 Days
1. SBI Amrit Kalash FD (400 Days)
- Interest Rate: 7.10% (General), 7.60% (Senior Citizens)
- Minimum Deposit: ₹10,000
- Availability: Until March 31, 2025
- Premature Withdrawal: Allowed with penalty
2. SBI Amrit Vrishti FD (444 Days)
- Interest Rate: 7.25% (General), 7.75% (Senior Citizens)
- Minimum Deposit: ₹10,000
- Availability: Until March 31, 2025
3. IDBI Bank Utsav Callable FD (555 Days)
- Interest Rate: 7.40% (General), 7.90% (Senior Citizens)
- Minimum Deposit: ₹5,000
- Availability: Until February 15, 2025
4. Indian Bank IND Super 400 Days FD
- Interest Rate: 7.30% (General), 7.80% (Senior Citizens), 8.05% (Super Senior Citizens)
- Minimum Deposit: ₹10,000
5. Punjab & Sind Bank 555 Days FD
- Interest Rate: 7.45% (General), 7.95% (Senior Citizens)
- Minimum Deposit: ₹10,000
How to Open a Fixed Deposit?
Opening an FD is simple and can be done in four easy steps:
Step 1: Choose the Right Bank & FD Scheme
Compare interest rates and terms from different banks to select the best FD scheme.
Step 2: Visit the Bank or Open FD Online
Most banks allow online FD account opening through net banking or mobile apps.
Step 3: Deposit the Money
बजट 2025 का बड़ा तोहफा! FD पर टैक्स छूट दोगुनी, NSS निकासी टैक्स फ्री, बुजुर्गों के लिए जबरदस्त राहत
Transfer the required amount to your FD account. Ensure you meet the minimum deposit requirement.
Step 4: Receive FD Receipt
Once processed, you’ll receive an FD receipt with details like interest rate, tenure, and maturity amount.
Tax Implications of FDs
- TDS (Tax Deducted at Source): If your interest income exceeds ₹40,000 (₹50,000 for senior citizens) in a financial year, TDS will be deducted at 10% (if PAN is provided, else 20%).
- Tax-Saving FDs: Some banks offer 5-year tax-saving FDs, which are eligible for tax deductions under Section 80C.
- Interest Earnings Taxability: The interest earned on FDs is fully taxable as per your income tax slab.
see also: PNB’s 401-Day Fixed Deposit A Smart Investment for 2025
Bank FD Interest FAQs
1. Which bank gives the highest FD interest rate?
As of now, Indian Bank’s IND Super FD offers the highest interest rate of 8.05% for super senior citizens.
2. Is there any risk in investing in FDs?
FDs are among the safest investment options, but premature withdrawal penalties and inflation risks should be considered.
3. Can I withdraw my FD before maturity?
Yes, but banks charge a penalty of 0.5% to 1.0% on the applicable interest rate.
4. What happens when my FD matures?
Upon maturity, the bank credits the maturity amount to your savings account. Some banks auto-renew the FD unless instructed otherwise.
5. How can I avoid TDS on my FD interest?
You can submit Form 15G (for individuals below taxable income) or Form 15H (for senior citizens) to avoid TDS.
