Best and Highest Fixed Deposit Interest Rates in Banks – Sep – 2019

Best Highest Fixed Deposit Interest Rates in Banks in September-2019-minBest and Highest Fixed Deposit Interest Rates in Banks – Sep – 2019


Banks are reducing fixed deposit interest rates month on month. Latest Bank FD Rates 2019 indicate that banks are offering between 5% to 8% interest rates. Most of the banks are offering between 6% to 6.5% only. Fixed Deposit rates in Post office are also attracting now. However, there are a few banks that are still offering highest FD rates now. What are the latest Fixed Deposit Interest Rates in Banks in September, 2019? Which banks offering best and highest FD rates for 1 year, 2 years, 3 years or 5 year tenure in India?

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Positive movers in FD Rates now compared to our previous article


Last time we reviewed these FD rates during July-2019. Let us check where there is positive movement in interest rates now in September, 2019 compared to our previous article.

Foreign banks:  There are no foreign banks in India that has increased the interest rates compared to our previous article.

Private Banks:  IndusindBank, IDFC Bank and ICICI Bank have increased FD rates for 1 year to 3 years tenure FDs. There are no other positive movers in the interest rates in the private banking sector.  

Public Sector Banks: There are no public sector banks that have increased the interest rates compared to our previous article.

Negative Movers in FD Rates compared to our previous article


Foreign Banks: There are no foreign banks in India that has reduced the interest rates now compared to our previous article.

Private Banks: Except for few private sector banks, almost all private banks have reduced interest rates by September, 2019 compared to Jul-2019.

Public Sector Banks:  Except for few public sector banks, almost all private banks have reduced interest rates now compared to Jul-2019.

What does this mean for investors?


As I always indicated in my previous articles, investors should park money for the long term now.

Which banks are providing higher interest rates now in September 2019?


1) If you are willing to park your money in foreign banks (operating from India), you can look for Deutsche Bank where they are offering 6.5% to 8% FD interest rates for 1 to 5 year tenure.

2) If you are willing to park your money in term deposits in Private sector banks, you can look for RBL Bank, DCB, Lakshmi Vilas Bank, Yes Bank, Indusind Bank, IDFC Bank and Bandhan Bank, etc., as they offer interest rates between 7.5% to 8 % for 1-5 years FD scheme.

3) If you are willing to park your money in Public sector banks, you can look for IDBI Bank, Repco and Syndicate Banks which provides highest interest rates for fixed deposits between 6.7% to 7.15% per annum.

Best and Highest Fixed Deposit Interest Rates in Banks for 5 years Tenure


1) Deutsche Bank offers a 8 % interest rate.

2) The Lakshmi Villas Bank offers a 7.85 % interest rate.

3) DCB Bank offers 7.75% interest rate.

4) Bandhan Bank offers 7.65% interest rate.

5) RBL Bank offers 7.5% interest rate.

Best and Highest Fixed Deposit Interest Rates in Banks for 4 years Tenure


1) Lakshmi Vilas Bank offers 7.85% interest rate.

2) DCB offers 7.75% interest rate.

3) Bandhan Bank offers 7.65% interest rate.

3) RBL Bank offers 7.5% interest rate.

5) IDFC Bank offers 7.5% interest rate.

Best and Highest Fixed Deposit Interest Rates in Banks for 3 years Tenure


1) DCB offers 8% interest rate.

2) Lakshmi Vilas Bank offers 7.85% interest rate.

3) Bandhan Bank offers 7.65% interest rate.

4) RBL Bank offers 7.6% interest rate.

5) IDFC Bank offers 7.5% interest rate.

Best and Highest Fixed Deposit Interest Rates in Banks for 2 years Tenure


1) IDFC Bank offers 8% interest rates for 2 years FD Scheme.

2) Lakshmi Villas Bank offers 7.85% interest rate.

3) RBL Bank offers 7.75% interest rate.

4) Bandhan Bank offers 7.65% interest rate.

5) DCB, IndusInd Bank & Repco Bank offers 7.5% rate of interest.

Best and Highest Fixed Deposit Interest Rates in Banks for 1 years Tenure


1) IDFC Bank offers 8% interest rate.

2)  Lakshmi Vilas Bank offers 7.75% rate.

3) RBL offers 7.75% interest rate.

4) IndusInd Bank offers 7.5% interest rate.

5) Repco Bank offers 7.5% interest rate.

Few Points to note


1) Axis Bank FD rates were attractive few quarters back, however now it offers only 6.75% to 7.1% interest rates for 1 to 5 years tenure.

2) Bandhan Bank FD rates still high between 7.35% to 7.65 for 1 to 5 years tenure schemes

3) These interest rates are per annum. If you are looking for monthly interest, you need to have FD calculator monthly interest for that.

4) SBI FD interest rates 2019 are lowest that offers between 6.25% to 6.7%.

5) Indusbank FD Rates are still high and they are offering 7.35% to 7.5%.

6) Yes Bank FD rates are still high at 7.25% for all tenures i.e. 1 to 5 years tenure.

Also Read: Top 10 SIP Mutual Funds to invest for 10 years

Comparison of Fixed Deposit Interest Rates in Banks – September, 2019


The comparison list would help investors to choose the right bank for fixed deposits. Green indicates that the rates have been increased compared our previous article and RED indicates that the rates are reduced compared to our previous article. Myinvestmentideas.com is the only website in India, which tracks FD rates regularly and provides whether a particular bank has increased the FD rate or slashed the FD rates. This is a unique feature of our blog. Here is Fixed Deposit rate comparison table.

Best and Highest Fixed Deposit Interest Rates in Banks in September-2019-min

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Suresh KP

Best and Highest Fixed Deposit Interest Rates in Banks – Sep – 2019

7 comments

  • SUJITH

    Hi Suresh,
    You haven’t mentioned ESAF in this article which provides highest interest rate..is it because ESAF is not much safe? Are the deposits in ESAF safe, as any other banks?

  • RB

    HDFC interest rates are max for 2 years 1 day- 3 years @7.10% , not 7.30% as mentioned on your site.

  • Edwin Selvam D

    Hi Suresh,

    Thank you for your wonderfull info on finacial Topics.

    I have a question , irrespective of the amount of FD we have in Banks, if Bank closes or is Bankrupt, i heard we are only obliged 1 lakh from Banks Legally. Info required.

    Also is there a Bail In ( they can forfeit FD without our consent )clause from Govt Financial Budget , if market collapses.

    • All banks are regulated by RBI. However, if you ask me if there is any risk, yes there could be risk. e.g. PNB where the scam happened last year. You would get insurance upto Rs 1 Lakh only. Hence you can diversify and invest in 2-3 bank FDs to reduce the risk. For private banks, we cannot tell in advance that Govt would come forward with any bail package in case of bankrupt.

  • Amit

    I see that IDFC has the highest rate for 1 year among all the banks in the list.

    Is it safe to make deposits with IDFC bank?

    • IDFC Bank is a private bank. All banks are regulated by RBI. However, if you ask me if there is any risk, yes there could be risk. e.g. PNB where the scam happened last year. Hence you can diversify and invest some amount in 2-3 bank FDs to reduce the risk.

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