Interest Rates
3.00% – 7.00%
Time Period
7 days to 10 years
Min - Max Amount
1,000 - No upper limit
Compounding
Quarterly
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Expected Rate of Return
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₹ 0
Invested Amount
₹ 10,000
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Federal Bank positions itself as a digital bank with a human face, serving as the preferred partner for personal, NRI, and business banking across urban and rural India. The bank is driven by the ambition to become one of the most admired banking institutions in the country, embodying its core proposition of 'Digital at the Fore, Human at the Core.' This approach focuses on redefining human experiences through digital means, with ongoing innovations poised to reshape the future of banking. The bank continuously scales its digital initiatives to connect meaningfully with a broader customer base, aiming to be the first choice for all Indians.
The bank's performance is rooted in a solid foundation built over the past decade through a strong emphasis on digital advancements. These leading-edge digital capabilities have positioned Federal Bank as a prominent player in the neo-banking space. Key milestones include the launch of digital products and marketing initiatives, which represent a strategic shift to adapt to evolving realities. This has resulted in an impressive 86% share of digital transactions.
Tenure | Regular Rate (p.a.) | Senior Citizen Rate (p.a.) |
7 days to 29 days | 3.00% | 3.50% |
30 days to 45 days | 3.25% | 3.75% |
46 days to 90 days | 4.25% | 4.75% |
91 days to 180 days | 4.50% | 5.00% |
181 days | 6.00% | 6.50% |
182 days to 270 days | 5.50% | 6.00% |
271 days to less than 1 year | 5.90% | 6.40% |
1 year | 6.25% | 6.75% |
Above 1 year to less than 15 Months | 6.50% | 7.00% |
15 Months | 6.60% | 7.10% |
Above 15 months to 998 days | 6.50% | 7.00% |
999 days | 6.70% | 7.20% |
1000 days to 10 years | 6.50% | 7.00% |
Above 10 years to 20 years | 6.00% | 6.15% |
Note: The data is as of August 28, 2025
Tenure | Regular Rate (p.a.)* |
7 - 14 days | 3.50% |
15 - 29 days | 3.75% |
30 - 45 days | 4.00% |
46 - 60 days | 4.50% |
61 - 90 days | 5.50% |
91 - 120 days | 5.90% |
121 - 180 days | 5.90% |
181 - 270 days | 6.10% |
271 days to less than 1 year | 6.20% |
1 Year | 6.40% |
1 year 1 day to 15 months | 6.25% |
Above 15 months to 18 months | 6.20% |
Above 18 months to 2 years | 6.20% |
Above 2 years to 3 years | 6.20% |
Above 3 years to 5 years | 6.20% |
Above 5 years | 6.20% |
Note: The data is as of August 28, 2025
Federal Bank's Fixed Deposits stand out for their security and reliability, backed by the bank's strong financial standing and high credit ratings. A key feature is the flexibility in tenures, ranging from just 7 days for short-term parking of funds to up to 10 years for long-term wealth building, allowing investors to align with their financial horizons.
Benefits include guaranteed returns insulated from market volatility, ensuring principal protection and predictable earnings. Senior citizens enjoy an additional 0.50% interest rate, enhancing retirement planning.
The flagship Resident Term Deposit serves as the cornerstone for conservative investors seeking straightforward, risk-free returns. This scheme allows lump-sum deposits starting from ₹1,000 with no upper ceiling, across tenures of 7 days to 10 years. Interest rates commence at 3.00% p.a. for short periods and peak at 6.50% for medium-to-long tenures, with seniors receiving a 0.50% premium. Payout frequencies include monthly for regular cash flow or cumulative for compounded growth.
Complementing this is the Cash Certificate, a variant of the term deposit focused on higher-yield, non-cumulative options for those preferring periodic interest credits. Minimum deposit is ₹1,000, with identical tenures and rates as the Resident Term Deposit. The distinguishing feature is the mandatory quarterly interest payout, credited directly to a linked savings account, making it suitable for supplementing income. No additional charges apply for this payout mode, and like other FDs, it supports overdraft facilities.
For tax-conscious savers, the Federal Tax Savings Deposit integrates FD security with fiscal incentives under Section 80C of the Income Tax Act. Eligible for deductions up to ₹1.5 lakh annually, this scheme mandates a 5-year lock-in, with minimum and maximum deposits of ₹100 and ₹1.5 lakh respectively. Rates mirror standard FDs, ensuring competitive yields without compromise. Premature withdrawal is disallowed to preserve tax eligibility, but loans against the deposit are available up to 90%.
The Annuity Deposit Scheme caters to retirement planners desiring lifelong monthly pensions. Targeted at residents aged 55+, it requires a minimum ₹15 lakh deposit for tenures of 5 to 20 years, yielding 6.50% p.a. for 5-10 years and 6.00% beyond, with seniors at 7.00% and 6.15% respectively. Upon maturity, the principal is used to purchase an annuity policy providing monthly payouts, ensuring steady post-retirement income. This hybrid product bridges FDs with insurance, mitigating longevity risk.
Deposit Plus (Non-Callable Deposit) appeals to yield maximisers willing to forgo liquidity for superior rates. Minimum ₹1 crore, with a 12-month lock-in and no premature closure, rates edge higher, up to 6.85% for 999 days versus standard 6.70%. Ideal for institutional or high-value investors, it suits parking surplus funds where access isn't immediate. No senior premium applies, but the yield differential compensates.
Federal Bank's FD rates are structured progressively by tenure to incentivise longer commitments, reflecting the time value of money and liquidity preferences. Short-term options (7-90 days) offer modest yields of 3.00%-4.25% p.a. for regulars, suiting temporary surpluses like bonuses, with seniors at 3.50%-4.75%.
Medium tenures (91 days-1 year) ramp up to 4.50%-6.00%, ideal for bridging goals, peaking at 6.00% for 181 days.
Beyond one year, rates stabilise at 6.25%-6.70% up to 999 days, dropping slightly to 6.00% for 10+ years, encouraging sustained savings. Senior citizens consistently earn 0.50% extra, maximising retirement nests. These tiered rates, compounded quarterly, ensure optimal growth, with the 15-month and 999-day slots as sweet spots for balanced yield-tenure trade-offs. Investors can use the bank's FD calculator to project earnings precisely.
| Tenure | Institution Name | Interest Rate (% p.a.) |
|---|---|---|
| 999 days | 6.70› |
 | 1,000 days | 6.70› |
 | 24 Months 1 Day to 36 Months | 7.10› |
 | 15 months to less than 2 years | 6.70› |
 | 12 months to less than 24 months | 7.75› |
Note: The data is as of August 28, 2025
Investing in a Federal Bank Fixed Deposit is a streamlined process, blending digital efficiency with traditional accessibility to suit modern lifestyles. For online enthusiasts, the FedMobile app serves as the primary gateway: download it from the Google Play Store or Apple App Store, register using your mobile number and debit card details, and log in securely. Navigate to the bottom navigation bar, select 'Investments', then 'Bank Deposits', and choose 'Fixed Deposit'. Here, preview current interest rates by tenure and customer type, regular or senior citizen, to inform your decision.
Alternatively, FedNet internet banking mirrors this: log in at federalbank.co.in, head to 'Deposits' > 'Open Fixed Deposit', and follow similar prompts for Cash Certificates or other variants. This method suits desktop users, offering printable confirmations.
Eligibility for a Federal Bank FD account is broad and inclusive, encompassing resident Indians, NRIs, and various entities to promote widespread financial participation. Individuals, single or joint, above 18 years qualify outright, while minors (under 18) can invest through natural or legal guardians, fostering early savings habits. Hindu Undivided Families (HUFs), sole proprietorships, partnerships, clubs, associations, educational institutions, and joint-stock companies are eligible, provided they hold a current or savings account with the bank.
NRIs access via NRE/NRO accounts for repatriation or local income handling. No income proof is mandated for basic FDs, but PAN is compulsory for deposits over ₹50,000; otherwise, Form 60 suffices. Entities must comply with RBI norms, excluding those in prohibited sectors. This liberal criteria, sans upper age limits, ensures accessibility for all, from students to corporations, aligning with the bank's inclusive finance ethos.
Opening a Federal Bank FD requires minimal yet essential documentation for KYC compliance and seamless processing. Primarily, a valid PAN card (original sighted, copy retained) is mandatory for all applicants, except minors where the guardian's PAN applies. For identity and address proof, options include Aadhaar Card, Passport, Voter ID, Driving Licence, or NREGA Job Card (gazetted officer-attested). A recent passport-size photograph is needed, alongside details of the linked savings/current account for fund transfer.
For tax exemptions on interest below thresholds, submit Form 15G (under 60, income <₹2.5 lakh) or 15H (seniors, income <₹3 lakh). Entities provide incorporation certificates, partnership deeds, or trust deeds. NRIs furnish passport copies and visa details. Branches assist with on-site PAN applications if absent. This concise list ensures quick onboarding, typically within minutes digitally or hours at branches, upholding security without bureaucracy.
Interest earned on Federal Bank Fixed Deposits is taxable as 'Income from Other Sources' under the Income Tax Act, added to the investor's total income and taxed per their slab rate, ranging from 5% to 30% plus cess for FY 2025-26. No deductions apply to standard FD interest, but Tax Saver FDs qualify for up to ₹1.5 lakh exemption under Section 80C, subject to the 5-year lock-in. Banks deduct Tax Deducted at Source (TDS) at 10% if annual interest exceeds ₹40,000 for individuals/HUFs (₹50,000 for seniors), ensuring compliance. This threshold aggregates across all FDs with the bank.
NRE FDs remain tax-free in India, with repatriation ease, while NRO interest faces TDS at 30% plus surcharge. Quarterly TDS credits can offset final liability via ITR filing. Investors should track Form 16A for claims and consult advisors for optimal structuring, especially with cumulative options amplifying taxable accruals. This framework balances revenue collection with saver incentives.
Premature closure of Federal Bank FDs is permitted after the minimum 7-day tenure, offering liquidity at a cost. A penalty of 1% on the applicable interest rate applies for closures beyond 15 days, reducing net earnings, e.g., a 6.50% rate yields 5.50% post-penalty. No interest or penalty for tenures up to 15 days, and zero interest below 7 days. Tax Saver FDs prohibit early withdrawal to retain Section 80C benefits. Requests process via app, net, or branch, with funds credited post-penalty deduction. This policy safeguards bank liquidity while accommodating genuine needs.
