Bank FD Rates 2026: Is this the right time to invest in fixed deposits? Know the latest interest rates of major banks including SBI, HDFC and PNB

New Delhi. This last week of March 2026 is proving to be very important for fixed deposit (FD) investors after the decision of the Reserve Bank of India (RBI) to keep the repo rate stable. There is an atmosphere of stability in the market as the inflation rate in the country is close to 2% and the GDP growth rate is at a strong level of 7.4%. Experts believe that there could be a possibility of a cut in interest rates in the coming months, so this is a great opportunity for investors to lock in the existing high rates. Condition of Government Banks: Respectable returns with security. Public sector banks like State Bank of India (SBI), Punjab National Bank (PNB) and Bank of Baroda are currently offering attractive rates on their select tenures. Interest Rates: Rates for general customers are in the range of 6.4% to 6.6%. Senior Citizens: As usual, the elderly are getting additional benefits ranging from 0.45% to 0.70%. Special FD: Many government banks are running special tenure schemes like 390 days, 444 days and 800 days, where up to 0.25% more interest is being given as compared to normal FD. Private and Small Finance Banks: The highest profits are being given here. Private sector giants like HDFC and ICICI Bank is offering interest ranging from 6.5% to 6.9% for a tenure of 18 months to 3 years. At the same time, if you can take a little risk, then small finance banks can prove to be a ‘mine of profit’ for you. Small Finance Banks: Banks like Unity and Suryoday are offering interest of more than 8% on some special schemes. Security: Remember that under the rules of DICGC, your deposit of up to ₹ 5 lakh (principal + interest) in every bank is completely safe and insured. Taxes and Penalties: It is important to know this before investing. Rules It is important to understand these technical aspects before investing money in FD so that you do not have to regret later: Mathematics of TDS: If your annual interest is more than ₹ 40,000 (₹ 50,000 for senior citizens), then the bank will deduct TDS. To avoid this, eligible persons must submit Form 15G/15H. Pre-mature withdrawal: If you withdraw money before the completion of the tenure, the bank usually imposes a penalty of 0.5% to 1%. Non-callable FD: Some banks offer ‘non-callable’ FD in exchange of higher interest, which you cannot withdraw under any circumstances before maturity. Amar Ujala’s special advice: Adopt ‘Laddering’ technique: Often investors block all the money in a single FD for a long time. We recommend that you adopt ‘FD Laddering’. Divide your total amount into three parts and deposit them separately for periods of 1 year, 2 years and 3 years. With this you will get liquidity every year and you will also be able to take advantage of changing interest rates.