At least three small finance banks (SFBs) have changed the interest rates on fixed deposits. These banks are offering interest up to 9.25 percent to their customers. The business model of small finance banks is different from that of commercial banks. In such a situation, it is advisable to invest a limited amount in them.
New Delhi: Everyone pays attention to one thing while making Fixed Deposit (FD). That is the interest rate available on it. FD ensures guaranteed returns. This is the main reason for its attraction. FD interest rates vary depending on the tenure and amount chosen. Its rates also vary in different banks. Recently three Small Finance Banks (SFBs) have made changes in their fixed deposit rates for amounts less than Rs 2 crore. These banks have offered interest up to 9.25 percent. The business model of AFB is different from commercial banks. However, amounts up to Rs 5 lakh deposited in SFBs are insured by the Deposit Insurance Credit Guarantee Corporation (DICGC). Experts advise retail investors to limit their risk in FDs in small finance banks. According to him, it is good if this amount is within the DICGC cover of Rs 5 lakh including both principal and interest. Come, let us know about those three SFBs which have changed the interest rates.
Ujjivan Small Finance Bank
Ujjivan Small Finance Bank is offering interest ranging between 3.75% to 8.50% for general citizens. The highest interest rate for a tenure of 15 months is 8.50%. The highest interest rate for senior citizens on the same tenure is 9%. These rates have become effective from March 7, 2024.
Shivalik Small Finance Bank
Shivalik Small Finance Bank is offering interest between 3.50% to 8.70% for general citizens. The interest rate for senior citizens ranges between 4% to 9.20%. The highest interest rate on tenure of 24 months, 1 day to 36 months is 8.70%. The highest interest rate for senior citizens is 9.20%. Rates are applicable from March 2, 2024.
Suryoday Small Finance Bank
Suryoday Small Finance Bank is offering interest ranging between 4% to 9.01% for general citizens. Interest rates for senior citizens range between 4.40% to 9.25%. For senior citizens, the highest interest rates of 9.01% and 9.25% are offered for a tenure of 2 years 1 month (25 months). Rates are effective from March 1, 2024.
