When it comes to safe and reliable investment options in India, Fixed Deposits (FDs) are often at the top of the list. And among the most trusted names for FDs are the State Bank of India (SBI) and HDFC Bank. But if you’re wondering “SBI or HDFC: which bank is giving the highest return on FD?”, you’re not alone. With interest rates changing frequently, it’s essential to know where your money will grow the fastest.
SBI vs HDFC FD Interest Rates (April 2025)
| Feature | SBI FD Rate (Max) | HDFC FD Rate (Max) |
|---|---|---|
| General Public Highest Rate | 7.25% (444 days – Amrit Vrishti) | 7.40% (55 months) |
| Senior Citizen Highest Rate | 7.75% (444 days – Amrit Vrishti) | 7.90% (55 months) |
| Minimum Investment Amount | ₹1,000 | ₹1,000 |
| FD Tenure Options | 7 days to 10 years | 7 days to 10 years |
| Special FD Schemes | Amrit Vrishti (444 days) | Special Edition FD (55 months) |
If you’re seeking higher returns, HDFC Bank’s FD schemes offer a slight edge, especially for senior citizens and select long tenures. However, if you prefer safety and a government guarantee, SBI’s special schemes like Amrit Vrishti and WeCare are highly attractive. Ultimately, your decision should depend on your investment horizon, tax bracket, and risk tolerance.
Understanding Fixed Deposits – Why FDs Are Still Popular
FDs are fixed-term investment instruments where you deposit a lump sum amount with a bank for a specified period, and in return, the bank offers a fixed interest rate. They are:
- Low-risk and secure, protected by deposit insurance (up to ₹5 lakh per depositor per bank)
- Great for senior citizens, conservative investors, or those with short-to-medium term goals
- Easy to open via net banking or a branch visit
With inflation still a concern and stock market volatility keeping some investors on edge, FDs offer a safe haven with guaranteed returns.
see also: Central Bank of India FD Rates Revised Earn Up to 7.35% Interest
SBI Fixed Deposit Interest Rates – April 2025
SBI, India’s largest public sector bank, offers competitive FD interest rates for both regular and senior citizen investors.
For General Public
- 7 days to 45 days: 3.50% p.a.
- 46 days to 179 days: 5.50% p.a.
- 180 to 210 days: 6.25% p.a.
- 1 year to less than 2 years: 6.80% p.a.
- 2 to less than 3 years: 7.00% p.a.
- 3 to less than 5 years: 6.75% p.a.
For Senior Citizens (Additional 0.50% across tenures)
- Amrit Vrishti (444 days): 7.75% p.a.
- 5 to 10 years (WeCare): 7.50% p.a.
Note: SBI’s “Amrit Kalash” scheme (400 days at 7.10%) has been discontinued from April 1, 2025.
HDFC Bank Fixed Deposit Interest Rates – April 2025
HDFC Bank, one of India’s leading private sector banks, offers a wide range of FD options with slightly higher returns on special tenures.
For General Public
- 7 days to 14 days: 3.00% p.a.
- 6 months 1 day to 9 months: 5.75% p.a.
- 15 months to less than 18 months: 7.10% p.a.
- 18 months to less than 21 months: 7.25% p.a.
- 35 months: 7.35% p.a.
- 55 months (Special Edition): 7.40% p.a.
For Senior Citizens (Additional 0.50%)
- Up to 7.90% p.a. for select tenures
These high-yield FDs were part of HDFC Bank’s “Special Edition FD” schemes available up to March 31, 2025. Confirm with your local branch for continued availability.
SBI vs HDFC: Side-by-Side Comparison
| Criteria | SBI | HDFC |
|---|---|---|
| Highest Public Rate | 7.25% (Amrit Vrishti) | 7.40% (55 months) |
| Highest Senior Rate | 7.75% (Amrit Vrishti) | 7.90% (Special Scheme) |
| Flexibility in Tenures | High (7 days to 10 years) | High (7 days to 10 years) |
| Senior Citizen Benefits | 0.50% extra + WeCare scheme | 0.50% extra + up to 7.90% scheme |
| Credibility & Reach | Government-backed, PAN-India | Private but trusted, PAN-India |
How to Choose the Right FD for You
Here are a few tips to help you decide:
1. Define Your Investment Duration
- Short-term (< 1 year)? Opt for HDFC’s 6-9 month slabs.
- Medium to long-term (2+ years)? SBI’s or HDFC’s special schemes may suit better.
2. Are You a Senior Citizen?
Both banks offer 0.50% extra, but HDFC offers higher max interest if you’re investing in their special schemes.
3. Look for Special FD Offers
Banks often roll out limited-time schemes with higher interest. Always check the bank’s official site or visit your branch for updates.
4. Use FD Calculators
Both SBI and HDFC offer FD calculators to help you estimate returns:
- SBI FD Calculator
- HDFC FD Calculator
see also: You get Rs 30,750 every 3 months only in this scheme
SBI or HDFC: Highest Return on FD FAQs
Q. Which is better, SBI or HDFC FD?
It depends on your investment goals. SBI is government-backed and offers stability. HDFC offers slightly higher returns, especially for specific tenures.
Q. Are FD interest earnings taxable?
Yes. FD interest is taxed as per your income tax slab. If interest exceeds ₹50,000 (senior citizens) or ₹40,000 (others) annually, TDS will apply.
Q. Can I break an FD early?
Yes, both banks allow premature withdrawals, but you may lose some interest due to penalty charges.
Q. Is my money safe in FDs?
Yes. Deposits up to ₹5 lakh are insured under DICGC insurance, applicable to all scheduled banks.
Q. Can NRIs open FDs in SBI or HDFC?
Yes. Both banks offer NRE/NRO FD schemes for non-resident Indians with attractive interest rates.
