Banks are offering good interest rates to their regular customers as well as senior citizens. Many banks are paying interest up to 8.50% per annum on FDs ranging from 1 year to 3 years. Here we know about 5 such banks which are giving up to 8.5% annual interest to the customers on deposits of 1, 2, 3 years. Usually, senior citizens are offered up to 0.50% more interest than regular customers. 

Axis Bank

Bandhan Bank

RBL Bank

IDFC First Bank

DCB Bank

(Note: These interest rates have been taken from the official website of the banks. The rates are effective for deposits less than 2 crores.)

Know tax provisions on FD

The interest income from all term fixed deposits is fully taxable. That is, after adding this income to the total income of the investor, it will have to be taxed according to the tax slab. According to the Income Tax Act, people aged 60 years or more are kept in the senior citizen category. Senior citizens get the benefit of deduction on interest income up to Rs 50,000 during a financial year.

The post Top 5 Bank FD Rates 2023: These banks are giving up to 8.5% interest; Know 1, 2, 3 year rates first appeared on Rightsofemployees.com.