FD rates in January 2026 at 5%-8%: Check best offers across banks

Bank-wise FD rates range from 5% to 8%, depending on tenure and lender type

Fixed deposits (FDs) continue to be a widely used savings option for Indian households seeking predictable returns. In January 2026, FD interest rates vary sharply across banks, making the choice of lender and tenure important for depositors. While large public and private sector banks are offering relatively modest returns, small finance banks (SFB) are providing significantly higher interest rates on select tenures.

 

According to data compiled by Paisabazaar.com, FD interest rates as of January 2, 2026 range from about 5 per cent to as high as 8 per cent, depending on the bank and deposit period.

 

FD rates of SFBs

Small finance banks are currently at the top of the FD rate table, particularly for deposits with maturities between 18 months and five years. These banks are offering higher interest to attract retail deposits.

 

 

Notable offerings include:

 

·  Suryoday Small Finance Bank: Up to 8 per cent on a 5-year FD

 

·  Jana Small Finance Bank: 7.77 per cent for a 5-year deposit

 

·  Slice Small Finance Bank: 7.75 per cent for deposits of around 18 months

 

·  ESAF Small Finance Bank: 7.60 per cent on a 444-day FD

 

For one-year deposits, most small finance banks offer between 6 per cent and 7.25 per cent, while three-year deposits can fetch up to 7.5 per cent. 

 

FD rates of private sector banks

Private sector banks continue to offer mid-range FD rates, balancing returns with perceived safety and convenience.

 

Among key private lenders:

 

·  Axis Bank and HDFC Bank offer up to 6.45 per cent on longer tenures

 

·  ICICI Bank offers up to 6.50 per cent on five-year deposits

 

·  RBL Bank and Bandhan Bank are among the higher-paying private banks, offering up to 7.20 per cent for specific tenures

 

One-year FD rates at private sector banks largely fall in the 6.25–6.75 per cent range. 

 

FD rates of public sector banks

Public sector banks continue to offer comparatively lower FD rates across most tenures.

 

·  Bank of Baroda and State Bank of India offer around 6.45–6.60 per cent on select schemes

 

·  Punjab National Bank and Canara Bank offer close to 6.15–6.40 per cent

 

·  Five-year FD rates at most PSU banks are near or below 6.10 per cent 

Latest FD rates in January 

 

Bank Fixed Deposit Rates
Bank Name	Interest Rates (p.a.)
	Highest slab		1-year	3-year	5-year
	%	Tenure
SMALL FINANCE BANKS
AU Small Finance Bank	7.10	2 years 1 day to 3 years	6.35	7.10	6.75
Equitas Small Finance Bank	7.30	888 days	7.00	7.00	7.00
ESAF Small Finance Bank	7.60	444 days	4.75	6.00	5.75
Jana Small Finance Bank	7.77	5 years	7.00	7.50	7.77
Shivalik Small Finance Bank	7.50	21 months 1 day to 22 months	6.00	6.75	6.25
slice Small Finance Bank	7.75	18 months 1 day to 18 months 2 days	6.25	7.50	7.00
Suryoday Small Finance Bank	8.00	5 years	7.25	7.25	8.00
Ujjivan Small Finance Bank	7.45	2 years	7.25	7.20	7.20
Utkarsh Small Finance Bank	7.50	2 years to 3 years	6.00	7.50	7.00
PRIVATE SECTOR BANKS
Axis Bank	6.45	15 months to 10 years	6.25	6.45	6.45
Bandhan Bank	7.20	2 years to less than 3 years	7.00	7.00	5.85
City Union Bank	6.75	500 days	6.50	6.50	6.25
CSB Bank	7.00	13 months	5.00	5.75	5.75
DBS Bank	6.60	376 days to 600 days	6.30	6.40	6.25
DCB Bank	7.15	Above 60 months to 61 months	6.90	7.00	7.00
Federal Bank	6.75	36 months	6.25	6.75	6.40
HDFC Bank	6.45	18 months to 3 years	6.25	6.45	6.40
ICICI Bank	6.50	3 years 1 day to 10 years	6.25	6.45	6.50
IDFC FIRST Bank	7.00	450 days to 5 years	6.30	7.00	7.00
IndusInd Bank	7.00	1 year 6 months to less than 1 year 7 months	6.75	6.90	6.65
Jammu & Kashmir Bank	7.00	888 days	6.50	6.65	6.60
Karur Vysya Bank	6.80	400 days	6.55	6.55	6.55
Karnataka Bank	6.65	555 days	6.50	6.15	6.15
Kotak Mahindra Bank	6.70	391 days to less than 2 years	6.25	6.40	6.25
RBL Bank	7.20	18 months to 3 years	7.00	7.20	6.70
SBM Bank India	7.10	Above 15 months to 3 years 2 days	7.00	7.10	7.00
South Indian Bank	6.60	1 year	6.60	6.20	5.70
Tamilnad Mercantile Bank	6.90	400 days (TMB400)	6.80	6.60	6.60
YES Bank	7.00	18 months 1 day to less than 5 years	6.65	7.00	6.75
PUBLIC SECTOR BANKS
Bank of Baroda	6.60	444 days – BoB Square Drive Deposit Scheme	6.25	6.50	6.40
Bank of India	6.70	450 days - Star Swarnim	6.25	6.25	6.00
Bank of Maharashtra	6.55	500 days