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Banks (Finance)

Tax Saver Fixed Deposit Interest Rates in September 2023: Top Banks Offering Higher Rates than SBI

Strategic Insights

— 2 min read

Data from the Bank Bazaar website reveals that as many as 8 banks are offering more interest rates than State Bank of India (SBI) on 5-year tax-saving fixed deposits in September, both for general citizens and senior citizens. While SBI is offering 6.5% interest on tax-saving FDs to general citizens and 7% to senior citizens, several other banks are offering higher rates. This allows individuals to claim a tax deduction of up to Rs 1.5 lakh under Section 80C of the Income Tax Act per year.

Key Takeaways:

  • IndusInd Bank is offering 7.25% interest to general citizens and 8% to senior citizens on its Tax Saver Scheme.
  • RBL Bank is offering 7.1% interest to general citizens and 7.6% to senior citizens on its Tax Saving FD.
  • HDFC Bank is offering 7% interest to general citizens and 7.75% to senior citizens on its Tax Saving FD.
  • Canara Bank is offering 6.70% interest to general citizens and 7.20% to senior citizens on its Tax Saving FD.
  • Axis Bank is offering 7% interest to general citizens and 7.75% to senior citizens on its Tax Saving FD.
  • IDFC First Bank is offering 7% interest to general citizens and 7.5% to senior citizens on its Tax Saving FD.
  • Union Bank of India is offering 6.70% interest to general citizens and 7.20% to senior citizens on its Tax Saving FD.
  • ICICI Bank is offering 7% interest to general citizens and 7.50% to senior citizens on its Tax Saver FD.
  • Punjab and Sind Bank is offering 6.25% interest to general citizens and 6.75% to senior citizens on its Tax Saving FD.
  • IDBI Bank is offering 6.50% interest to general citizens and 7.00% to senior citizens on its Tax Saving FD.

Statistics:

  • 8 banks are offering higher interest rates than SBI on 5-year tax-saving fixed deposits in September.
  • SBI is offering 6.5% interest to general citizens and 7% to senior citizens on tax-saving FDs.
  • IndusInd Bank is offering the highest interest rate, 8% to senior citizens, among all the banks listed.
  • RBL Bank and HDFC Bank are offering higher interest rates to senior citizens compared to SBI.

Sources:

  • Bank Bazaar website
  • "Tax Saver Fixed Deposit Interest Rate in September 2023: Not all banks are offering the same interest rate on 5-year Tax Saver FDs." - [IE Online Media Services Pvt. Ltd., distributed by Contify.com](https://www.contify.com/article/276208/tax-saver-fixed-deposit-interest-rate-in-september-2023-not-all-banks-are-offering-the-same-interest-rate-on-5-year-tax-saver-fds)

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