New Delhi. The month of November has brought good news for those who have fixed deposits (FD) in the bank. Many banks of the country have changed their FD interest rates. HDFC Bank and Indian Overseas Bank have increased interest on FDs of select tenures. Now in some special schemes, general customers are getting interest up to 6.75% and senior citizens are getting interest up to 7.50%.
Why did banks increase interest on FD?
In fact, the number of people taking loans in banks is increasing rapidly, but the deposits are not increasing in the same proportion. According to RBI data, till October 15, 2026, credit growth of banks stood at 18.2%, while deposit growth was recorded at 16.7%. In such a situation, banks are offering better interest on FDs to attract the savings of more and more customers.
HDFC Bank changed interest rates
HDFC Bank has revised its FD interest rates from 4 November 2026. Now general customers can get maximum interest of 6.60% and senior citizens can get interest up to 7.20% on select tenure FDs.
Indian Overseas Bank is giving 7.50% interest
Indian Overseas Bank has increased the interest rate on special FD of 444 days to 6.75% from November 10. Senior citizens are getting interest up to 7.25%, while super senior citizens are getting up to 7.50% interest. However, the bank has also reduced the interest rates on some other tenure FDs.
Is it beneficial to invest in FD now?
If you want fixed returns on your money without taking much risk, then FD can be an option. However, before investing, definitely compare the interest rates of different banks. Keep in mind that the interest received from FD comes under the ambit of tax. Therefore, before investing, be sure to understand the tax, penalty for breaking the FD prematurely and maturity terms.