FD Rates 2025: Which Bank Pays You Most?

RBI has cut rates twice in 2025, and big banks like SBI and HDFC have quietly trimmed FD rates. Here's who still offers the best returns and how to lock in before rates fall further.

Here's what happened: RBI cut the repo rate by 25 basis points in both February and April 2025, pushing banks to lower deposit rates gradually.. SBI currently offers 6.50% on 1–2 year FDs for regular customers; senior citizens get an extra 0.50%, taking it to 7.00%.. Small finance banks like Unity SFB and Suryoday SFB still offer 8.00–9.00% on select tenures, well above large bank rates..

What you should do: Compare FD rates across SBI, HDFC Bank, ICICI Bank, and top small finance banks on aggregator sites before booking — a 1% difference on ₹5L saves ₹5,000/year.. Lock in longer tenure FDs (2–3 years) now if you can, because rates are likely to fall further as RBI continues its rate-cut cycle in 2025.. Senior citizens should specifically ask for the 'Senior Citizen Special' FD scheme — most banks offer 0.25–0.75% extra, and some have limited-period offers..

Laddering FDs — splitting your corpus across 6-month, 1-year, and 2-year FDs — gives you liquidity without losing out on higher long-term rates.