FD rates: Which banks are offering the best returns on fixed deposits right now?
Bank fixed deposits (FDs) remain a preferred investment option for risk-averse investors and those seeking predictable returns. While FDs can provide stability and guaranteed interest income, investors should compare rates across banks and choose the tenure based on their financial goals.
According to data from BankBazaar, DCB Bank, RBL Bank, YES Bank, Tamilnad Mercantile Bank and Jammu & Kashmir Bank are among the banks offering some of the highest FD interest rates across various tenures for deposits of up to ₹1 crore.
The data, sourced from the respective banks’ websites as of 10 August 2026, covers 16 banks and excludes those that have merged with their parent entities.
DCB Bank offers FD rates ranging from 6% to 6.50% for deposits with a tenure of six months to less than one year. For deposits of one year to less than two years, rates range from 6.90% to 7.10%. For two to less than three years, the bank offers rates of 6.90% to 7.50%, while deposits for three to less than five years earn 7% to 7.10%. For deposits of five years and above, the rate ranges from 7% to 7.50%.
RBL Bank offers interest rates of 4.75% to 6.05% for FDs of six months to less than one year. For one to less than two years, rates range from 7% to 7.20%. The bank offers 7.20% for deposits between two and less than three years. For three to less than five years, the rate ranges from 7% to 7.20%, while five-year-and-above deposits earn 6.70%.
Investors need to consider goals before choosing FD
While higher FD rates can make deposits attractive, investors should not select an FD solely on the basis of the headline interest rate. The investment tenure, taxation and inflation-adjusted return should also be considered.
For short- and medium-term financial goals, FDs can provide stability and predictable returns.
Note: The rates shown are for deposits of up to ₹1 crore and are based on data available on 10 August 2026. Rates can change at the discretion of individual banks.
