Small finance banks usually offer interest rates that are higher than those of commercial banks. Most small finance banks offer as much as 8-8.5 percent interest rate on their fixed deposits (FDs) for certain tenures.
Here we give a lowdown on some of these small finance banks that offer high interest rates and beyond.
We share the FD interest rates of four prominent small finance banks and the maximum interest rates they offer. We start with AU Small Finance Bank.
AU Small Finance Bank
This bank offers 8 percent to depositors for a fixed deposit of tenure between 24 months one day to 36 months. Senior citizens are entitled to an extra 50 basis points.
For a tenure between 45 months to 120 months, the bank offers 7.25 percent to regular depositors, for 36 months to 45 months, the bank offers 7.75 percent, for 18 months to 24 months, the interest rate is 7.5 percent.
Ujjivan Small Finance Bank
It gives 8.20 percent to depositors on tenure of 13 months to 559 days. For deposits of 80 weeks tenure, the bank offers the maximum interest which is 8.45 percent.
For the deposits of tenure between 561 days to 989 days, the interest rate is 7.7 percent per annum, for the deposits of 990 days, the interest rate is 7.95 percent, and for longer deposits, the small finance bank offers an interest of 7.4 percent.
| Small Finance Bank | Highest interest Rate | Tenure |
| AU SFB | 8% | 24-36 months |
| Ujjjivan SFB | 8.45% | 560 days |
| Equitas SFB | 8.5% | 444 days |
| Jana SFB | 8.5% | 1095 days |
Equitas Small Finance Bank
This bank offers 8.5 percent to the depositors on deposits of 444-day tenure, 8.25 percent on deposits of 888 days tenure, and 8.2 percent for deposits of one year 2 days to 443 days tenure.
For deposits of tenure between 445 days to 18 months, the interest rate is 8.2 percent. For tenure between 3-4 years, the interest rate is 7.5 percent, for tenure between 4-5 years, and for longer tenure also, the interest rate is 7.25 percent
Jana Finance Bank
It offers 8.5 percent on deposits of tenure that range between 2-3 years (1095 days), for deposits that range between 1-2 years, the interest rate is 8.25 percent and for 365-day deposits, the interest rate would be 8 percent.
Interestingly, as the tenure gets longer, the interest rate declines. For instance, the deposits of tenure that range between 3-5 years, interest rate is 7.25 percent and for longer tenure, the interest rate is 6.5 percent.
