Bank FD Rates 2026: Top Banks Offering Highest Interest on 5-Year Deposits

Fixed deposits continue to be a go-to choice for investors who prefer stability over risk. But not all FDs are created equal, interest rates vary across banks, and that small difference can significantly impact your returns over time. If you’re planning a 5-year FD this month, here’s a quick look at what top banks are offering.

Public Sector Banks: Safe and Steady

State Bank of India (SBI), the country’s largest public lender, is offering 6.05% on 5-year FDs. It remains a reliable pick for conservative investors.

Bank of Baroda comes in slightly higher with 6.30%, making it one of the better options among government banks.

Canara Bank is offering 6.25%, placing it between SBI and Bank of Baroda in terms of returns.

Private Banks: Higher Returns on Offer

Private sector banks are currently leading the race with better interest rates.

HDFC Bank offers 6.40% on 5-year deposits, balancing strong returns with a trusted brand.

Axis Bank goes a notch higher at 6.45%, appealing to investors seeking better yields.

At the top end, ICICI Bank offers 6.50%, making it the highest among the banks listed here for a 5-year tenure.

What Should You Do?

If safety is your top priority, public sector banks remain a dependable choice. But if you’re aiming for slightly higher returns without taking on much extra risk, private banks currently offer an edge.

Before investing, compare rates, check terms, and align your choice with your financial goals. A little research today can help your savings grow better over the next five years.

Disclaimer: This article is for informational purposes only and does not constitute investment advice. Please consult a certified financial advisor before making any decisions. NewsPoint is not responsible for any gains or losses arising from this information.