5 highest 1, 3 and 5-year FD interest rates
As the Reserve Bank of India (RBI) maintained the repo rate at 5.25% in its Monetary Policy Committee (MPC) meeting today (Wednesday, April 8, 2026), fixed deposit (FD) interest rates are again in focus. Experts believe FD rates are unlikely to rise now, but they are not ruling out higher rates in the near future given many indicators suggesting so. Amid such a scenario, here are the five highest FD interest rates as of April 8, 2026, across public, private and small finance banks. The tables below illustrate the highest 1-year, 3-year and 5-year FD rates. We are taking the top 5 picks from each of the public, private and small finance banks.
Also read: Will FD investors see higher interest rates in coming months despite RBI holding repo rate?
Highest 1, 3 and 5-year FD rates (Top 5 public sector banks)
Highest 1, 3 and 5-year FD rates (Top 5 private sector banks)
Highest 1, 3 and 5-year FD rates (Top 5 small finance banks)
RBI repo rate and FD rates
In the year 2025, the RBI had cut the repo rate by 125 bps, which brought down the interest rate on fixed deposits, especially during the first half of 2025. However, since then, the central bank has consistently kept the repo rates steady, providing some relief to many FD investors. The pause on Wednesday could be significant, given the changing geopolitical scenario due to the Israel-Iran conflict, which has led to the rise in inflation. Though banks are less likely to increase FD rates immediately, the possibility of a rate hike in the following few months cannot be ruled out, as per experts.
What makes banks change FD rates
FD rates are not solely a function of the RBI’s repo rate as they are influenced by liquidity conditions, the inflation trajectory, G-Securities yields and competition from small savings schemes.
Also read: Will FD investors see higher interest rates in coming months despite RBI holding repo rate?
Highest 1, 3 and 5-year FD rates (Top 5 public sector banks)
Highest 1, 3 and 5-year FD rates (Top 5 private sector banks)
Highest 1, 3 and 5-year FD rates (Top 5 small finance banks)
RBI repo rate and FD rates
In the year 2025, the RBI had cut the repo rate by 125 bps, which brought down the interest rate on fixed deposits, especially during the first half of 2025. However, since then, the central bank has consistently kept the repo rates steady, providing some relief to many FD investors. The pause on Wednesday could be significant, given the changing geopolitical scenario due to the Israel-Iran conflict, which has led to the rise in inflation. Though banks are less likely to increase FD rates immediately, the possibility of a rate hike in the following few months cannot be ruled out, as per experts.
What makes banks change FD rates
FD rates are not solely a function of the RBI’s repo rate as they are influenced by liquidity conditions, the inflation trajectory, G-Securities yields and competition from small savings schemes.
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