Big Update on FD Rates: SBI, PNB, ICICI, BoB & Canara Bank Depositors Should Check This Now

If you are planning to invest your money safely in 2026, Fixed Deposits (FDs) are again in the spotlight. After the latest RBI decision, many people are searching for updated FD interest rates of major banks like SBI, PNB, ICICI Bank, Bank of Baroda and Canara Bank.

Here’s a simple, clear and human-friendly breakdown of what’s happening — explained so even a child can understand it.

Why Everyone Is Talking About FD Rates Right Now

The Reserve Bank of India (RBI) recently kept the repo rate unchanged.

When this happens, banks usually do not change FD interest rates immediately. That’s why most large banks have continued with their existing rates.

For depositors, this means:

• No sudden fall in FD returns
• Stable income from savings
• Peace of mind for long-term investors

SBI FD Rates: Safe Choice for Long-Term Investors

State Bank of India (SBI) remains the most trusted bank for FD investors in India.

Current highlights:

• Short-term FDs offer lower interest
• 1-year FD gives around 6.25%
• 2 to 3 years FD offers up to 6.45%
• 5 to 10 years FD gives around 6.05%

Senior citizens earn extra interest, making SBI FDs ideal for retirement income.

PNB FD Rates: Special Tenure Gives Better Returns

Punjab National Bank (PNB) continues to attract depositors with special FD tenures.

Key points:

• 1-year FD gives around 6.10%
• 390-day FD offers up to 6.40%
• Long-term FDs can go up to 6.80%

PNB also provides higher interest for senior and super senior citizens, which increases overall returns.

ICICI Bank FD Rates: Higher Returns from a Private Bank

ICICI Bank generally offers slightly better FD rates than PSU banks.

Current range:

• 1-year FD: around 6.25%
• 2 to 3 years FD: around 6.45%
• 3 to 5 years FD: up to 6.50%
• 5 to 10 years FD: around 6.50%

Senior citizens enjoy additional interest, making ICICI FDs popular among retirees.

Bank of Baroda FD Rates: Balanced and Reliable

Bank of Baroda offers steady FD returns without risk.

What to know:

• 1-year FD: around 6.10%
• 1 to 3 years FD: around 6.25%
• 3 to 5 years FD: around 6.30%
• 5 to 10 years FD: around 6.00%

Extra interest is available for senior citizens.

Canara Bank FD Rates: Strong PSU Option

Canara Bank provides FD rates similar to other government banks.

Highlights:

• 1-year FD: around 6.25%
• 2 to 3 years FD: up to 6.40%
• Long-term FDs offer stable returns

Senior citizens receive higher interest here too.

Which FD Is Best in 2026?

There is no single winner. The best FD depends on your goal:

• Maximum safety: SBI, PNB, Canara Bank
• Slightly higher returns: ICICI Bank
• Senior citizens: All banks offer benefits, private banks pay a little more

If your priority is capital protection and steady income, FDs are still a smart choice.

Final Word for Depositors

FDs may not make headlines like stocks or crypto, but they quietly protect your savings. With RBI keeping rates stable, bank FDs remain one of the most reliable investment options in India right now.

Before booking an FD:

• Compare tenure-wise rates
• Check senior citizen benefits
• Choose a trusted bank

Safe money may grow slowly, but it lets you sleep peacefully — and that’s priceless.

RAJIL M P

Rajil M P is a seasoned banking professional with over eight years of experience in the Indian banking sector. He has successfully completed the JAIIB and CAIIB examinations conducted by the Indian Institute of Banking & Finance (IIBF), reflecting his strong academic foundation and practical expertise in banking, finance, and risk management. He is the founder and editor of IndianBanker.com, a trusted platform focused on banking news, exam preparation, financial updates, and practical tools for banking aspirants, professionals, and informed readers. Drawing from real-world banking experience, Rajil simplifies complex topics such as interest rates, loans, deposits, RBI policies, and government schemes, making them easy to understand and apply.