Savings
Indian Bank FD rates: 6.65% on 555 days, and the cliffs on either side of it
Indian Bank pays 6.65% on exactly one tenure — 555 days — and 6.10% at one year. The 300-day cliff, the 181-day penalty rule and the 80-plus band.
Indian Bank’s retail term-deposit schedule, revised with effect from 4 August 2026, peaks at 6.65% for the general public on exactly one tenure — IND Grow, a 555-day special deposit — with 7.15% for depositors aged 60 to 79 and 7.40% for those aged 80 and above. Every ordinary bucket pays less, from 6.10% at exactly one year down to 6.00% from five years to ten. The August revision left every ordinary bucket unchanged and re-dated three of the four special tenors; IND Green still carries its 5 June 2026 rate.
Rates below are read from Indian Bank’s own deposit-rates page on 10 September 2026 and apply to resident domestic term deposits below ₹3 crore. Confirm the rate on the booking screen; the effective date on the bank’s page is what controls.
The buckets that actually pay
Indian Bank prints one general-public column for its ordinary buckets and a three-column table — public, senior citizen, super senior citizen — for each special tenor. The senior and 80-plus figures on the ordinary rows below are worked out from the uplifts the bank states on the same page, set out in full further down.
| Tenure | General | Age 60–79 | Age 80+ |
|---|---|---|---|
| 7–29 days | 2.80% | 3.30% | 3.55% |
| 30–45 days | 3.00% | 3.50% | 3.75% |
| 46–90 days | 3.25% | 3.75% | 4.00% |
| 91–120 days | 3.50% | 4.00% | 4.25% |
| 121–180 days | 3.85% | 4.35% | 4.60% |
| 181 days to under 9 months | 4.50% | 5.00% | 5.25% |
| 9 months to under 1 year | 4.75% | 5.25% | 5.50% |
| 300 days exactly (IND Supreme 2.0) | 6.20% | 6.70% | 6.95% |
| 1 year exactly | 6.10% | 6.60% | 6.85% |
| Over 1 year to under 2 years | 6.20% | 6.70% | 6.95% |
| 500 days exactly (IND Green) | 6.40% | 6.90% | 7.15% |
| 555 days exactly (IND Grow) | 6.65% | 7.15% | 7.40% |
| 2 years to under 3 years | 6.15% | 6.65% | 6.90% |
| 777 days exactly (IND Prosper) | 6.60% | 7.10% | 7.35% |
| 3 years to under 5 years | 6.05% | 6.55% | 6.80% |
| 5 years exactly | 6.00% | 6.50% | 6.75% |
| Over 5 years to 10 years | 6.00% | 6.75% | 7.00% |
The two shortest rows, priced identically, are collapsed here; the schedule itself prints 18, four of them named products exactly one day wide. All four specials take ₹1,000 to under ₹3 crore, are callable, and can be held as a money multiplier or a fixed deposit.
For orientation, the savings rate is 2.50% a year on balances up to ₹10 lakh, effective 4 July 2026.
One day is worth 145 basis points at the 300-day mark
IND Supreme 2.0 pays 6.20% at exactly 300 days; at 299 or 301 days the money falls into the nine-months-to-under-one-year bucket at 4.75%. That 145-basis-point cliff is worth about ₹5,960 on ₹5,00,000 over the term — the largest single-day gap on this card. The 555-day row is 45 basis points above its neighbours on both sides, worth about ₹3,400 on the same principal; the 500-day and 777-day rows are 20 and 45 points above theirs.
The one-year row is the one most people walk into: exactly 365 days pays 6.10%, a day over one year pays 6.20%. Asking the form for “one year” and asking it for 366 days are different instructions, and the second pays about ₹500 more on ₹5,00,000.
What the August revision actually changed
On 4 August 2026 no ordinary bucket moved — the card’s existing and revised columns are identical on every row — and the rate tables for IND Supreme 2.0, IND Grow and IND Prosper were re-dated to 4 August. The bank does not print their earlier rates, so the size of the change cannot be read off the card. The same page records that Ind Secure 444 days and Ind Green 555 days were discontinued from 5 June 2026, the day IND Grow and IND Prosper were introduced.
How a peak on a named tenor compares across the large banks, each on its own effective date, is in our comparison of FD interest rates across major banks.
Nothing longer than 555 days pays more
From 555 days the schedule falls and does not recover — IND Prosper at 777 days is the only bump, and still five basis points under the peak. The floor, 6.00% from five years to ten, sits 65 basis points below the 555-day rate, which makes a ten-year deposit the worst-paid commitment on the schedule. Older depositors get a softer version of the same shape, not a reversal: both bands fall 40 basis points from peak to ten-year.
A rolling series of 555-day deposits therefore pays more over five years than one five-year deposit at today’s schedule — provided the scheme still exists at each renewal, and at the cost of whatever rate exists then.
Maturity, and the day after it
Indian Bank’s terms offer three maturity instructions, chosen at booking or any time during the deposit: auto rollover of principal and interest net of TDS; closure with the proceeds credited to your account; or renewal of the principal alone with the interest paid out. The FD interest rates calculator will give the maturity value on any bucket. A cumulative money multiplier deposit compounds quarterly; a fixed deposit pays interest out quarterly, or monthly at a discount; a short-term deposit of 7 to 180 days pays it with the principal at maturity.
What auto rollover does depends on the product. IND Grow, IND Prosper and IND Green renew under the same scheme for the same tenor at the rate prevailing on the maturity date, if the scheme is still open; if it has been discontinued, they renew for exactly one year at the prevailing rate — 6.10% today. IND Supreme 2.0 is different: if the product is no longer live, a matured 300-day deposit is renewed into the 270-days-to-under-one-year bucket of the ordinary schedule, which pays 4.75% today.
Money left unclaimed is treated worse still: where a term deposit matures and the proceeds are unpaid, the unclaimed amount attracts the savings rate or the contracted rate on the matured deposit, whichever is lower — on a 555-day deposit, a fall from 6.65% to 2.50% the day after maturity. Give the instruction at booking, not afterwards.
Breaking it early: the rebuild, then the 181-day and ₹5 lakh lines
Indian Bank’s foreclosure rule has two thresholds most banks do not.
| Deposit size | Closed inside 7 days | Closed before 181 days | Closed at 181 days or later |
|---|---|---|---|
| Up to ₹5 lakh | No interest | Card rate for the period run, less 1.00% | Card rate for the period run, no penalty |
| Above ₹5 lakh | No interest | Card rate for the period run, less 1.00% | Card rate for the period run, less 1.00% |
The card rate for the period run is the one in force on the date of deposit, not today’s, and the rule applies to deposits opened or rolled over on or after 27 February 2020. Among individual depositors, staff, ex-staff and ex-staff who are senior citizens pay no foreclosure charge; ordinary senior citizens are not on that list, a narrower exemption than some public sector banks give. Deposits of ₹5 crore and above may be refused early withdrawal altogether at the bank’s discretion.
Take a ₹5,00,000 IND Grow deposit booked for 555 days at 6.65% and closed on day 200. The period served falls in the 181-days-to-under-nine-months bucket, which pays 4.50%. The deposit is within ₹5 lakh and has run at least 181 days, so no penalty is charged — about ₹12,300 of interest. Had the deposit run its course, the same 200 days would have earned about ₹18,200 at the contracted rate. The gap is close to ₹5,900, and none of it is the penalty; all of it is the rebuild.
Move the same closure to a ₹6,00,000 deposit and the penalty appears: 4.50% less 1.00% is 3.50%, about ₹11,500 where 4.50% would have paid about ₹14,800. Close the ₹5,00,000 deposit on day 150 instead and both thresholds bite at once: the 121-to-180-day bucket pays 3.85%, the deposit has not reached 181 days, and the rate after the levy is 2.85% — about ₹5,850 against roughly ₹13,700 at the contracted rate. All three figures use simple interest; quarterly compounding lifts each a little and does not change the comparison.
A green deposit withdrawn or renewed early stops being classified as green, though the penalty is the ordinary one; and a deposit closed inside seven days earns nothing, on every product.
Where the cash need is temporary, compare closing the deposit with a loan against the FD, which keeps the contracted rate and the maturity date alive. Indian Bank describes the facility on its ordinary and special products only as available on its prevailing norms; the one place it prints terms is the IB Golden Ager product — up to 90% of the balance at 1% over the deposit rate.
Seniors, and the 80-plus band
Indian Bank states its uplifts rather than printing columns for them, and they are not flat.
| Category | Uplift over the general rate |
|---|---|
| Age 60 and above, 7 days to 5 years | +0.50 percentage point |
| Age 60 and above, over 5 years to 10 years | +0.75 percentage point |
| Age 80 and above (IB Golden Ager), 7 days to 5 years | +0.75 percentage point |
| Age 80 and above (IB Golden Ager), over 5 years to 10 years | +1.00 percentage point |
| Staff on IND Supreme 2.0 | +1.00; +1.50 if a senior citizen; +1.75 if 80 or above |
Two things follow. The 80-plus band is worth an extra 25 basis points at every tenure, about ₹1,900 on ₹5,00,000 over a 555-day term. And the senior uplift has a cliff of its own at exactly five years: 6.50% at five years, 6.75% a day later, worth about ₹1,250 a year on ₹5,00,000 for as long as the deposit runs. How the other large banks structure the same uplift is in our page on senior citizen FD rates.
The 80-plus rate is a product, not a column. IB Golden Ager takes depositors aged 80 or above on the date of opening, on any valid KYC document or birth certificate showing the date of birth; it is held in one name only; nomination is mandatory; the minimum is ₹1,000 and the maximum ₹10 crore. If the product is withdrawn, deposits maturing afterwards roll into the ordinary senior-citizen product for the same bucket.
The uplift is not paid on NRE or NRO deposits, on deposits under the Capital Gains Scheme, or on a deposit in the name of a Hindu Undivided Family even where the karta is himself a senior citizen, because the beneficial owner is the HUF. Bulk deposits of ₹3 crore and above placed in a day are ineligible, and the rate page caps the benefit at ₹100 crore of term-deposit balances per customer; the bank’s older product pages still print a ₹10 crore ceiling and a ₹3 crore single-deposit-a-day limit, and nothing says which governs — academic below ₹3 crore. Whether a depositor who turns 60 during the deposit is repriced is not addressed on any page read; assume the rate changes only at renewal, and ask.
None of this makes an Indian Bank senior deposit the best home for retirement money. The Senior Citizens Savings Scheme pays 8.2% for the quarter ending 30 September 2026, with sovereign backing and a quarterly payout — 1.05 percentage points above the bank’s best rate for a depositor aged 60 to 79 — subject to its own ₹30 lakh ceiling, age test and exit rules, and to a fresh notification each quarter. Exhaust the scheme you qualify for first.
The schedules Indian Bank publishes separately
The tax-saver deposit has no rate of its own. The bank states that the domestic term-deposit rate applies to the IB Tax Saver Scheme, so the five-year row governs: 6.00% for the general public and 6.50% for a senior citizen. The product takes ₹1,000 to ₹1,50,000 in multiples of ₹100, locks the money for five years, and allows neither a loan nor foreclosure during the lock-in. It buys the deduction the bank’s page still labels section 80C, which exists under the old tax regime only; the new regime, now the default, offers nothing for it. Whether the 80-plus uplift reaches this product is not resolved on the page — IB Golden Ager lists short-term, fixed, money multiplier and recurring deposits, not the tax saver — so have it confirmed before booking.
IND Green at 500 days pays 6.40%, 20 basis points over the ordinary one-to-two-year rate but 25 below IND Grow, which runs 55 days longer. It carries the same minimum, callable status and loan facility as the other specials.
There is no retail non-callable deposit. IND Non-Callable Deposit is scoped to bulk deposits of ₹3 crore and above, and the separate bulk card for ₹3 crore to ₹5 crore, effective 1 April 2026, pays 6.00% callable and 6.05% non-callable at one year — both below the 6.10% a retail depositor gets. A retail depositor cannot buy a higher rate by surrendering early access.
Tax takes the next bite
FD interest is taxable at your slab rate as income from other sources, in the year it accrues, whether or not the bank has paid it. A cumulative 555-day deposit runs past at least one 31 March, so it is taxed across two financial years and sometimes three.
The bank deducts tax at source once interest across all your deposits with it crosses ₹50,000 in a financial year, or ₹1,00,000 for a resident senior citizen — 10% where PAN is on record and 20% where it is not. The thresholds apply bank-wide, not per branch or per deposit, so splitting one deposit into four at the same bank changes nothing.
Where you have no tax liability at all, the product sheets say a customer may lodge Form 121 — which replaced Forms 15G and 15H from 1 April 2026 — at the branch or online. The eligibility test is stricter than commonly assumed, and TDS is only an advance credit, not a settlement. Our guide to tax on FD interest sets out the thresholds, the declaration conditions and the accrual rule in full.
At 6.65% before tax, a depositor in the 30% slab keeps about 4.6% after cess. That number, not 6.65%, is what should be compared with anything else you are considering.
Insurance stops at ₹5 lakh per depositor per bank
Deposit insurance covers eligible principal and accrued interest up to ₹5 lakh per depositor per bank, in the same right and capacity, after lawful set-off. It is not ₹5 lakh per deposit, per branch or per product.
A ₹5,00,000 IND Grow deposit crosses the cover as soon as interest accrues, because accrued interest counts; to keep the whole maturity value inside the limit the principal has to be capped at roughly ₹4.5 lakh — our own arithmetic on the bank’s rate and tenor with quarterly compounding, not a figure either institution states. Every savings balance, recurring deposit and other FD you hold at Indian Bank is aggregated into the same ₹5 lakh, so a ladder built at one bank buys liquidity, not extra insurance.
Joint accounts, different capacities and claim timing are covered in our page on DICGC deposit insurance.
Before you book
| If the money is needed in | The bucket that fits | General rate | The trap next to it |
|---|---|---|---|
| Under a month | 7–29 days | 2.80% | Only 0.30 pp over the savings rate, and you lose access |
| About three months | 91–120 days | 3.50% | 46–90 days pays 3.25% |
| About ten months | Exactly 300 days (IND Supreme 2.0) | 6.20% | 299 or 301 days pays 4.75% |
| About a year | 366 days to under 2 years | 6.20% | Exactly 365 days pays 6.10% |
| Sixteen to eighteen months | Exactly 500 or exactly 555 days | 6.40% or 6.65% | 554 or 556 days pays 6.20% |
| About two years | Exactly 777 days | 6.60% | 730 to 776 days pays 6.15% |
| Three to five years | 3 years to under 5 years | 6.05% | 777 days pays more and matures sooner |
| More than five years | Over 5 years to 10 years | 6.00% | The longest commitment is the worst paid; a senior gets 6.50% at exactly 5 years and 6.75% a day later |
Set the tenure in days, read the maturity date on the confirmation screen, and check the customer category printed on the receipt. A deposit booked at the general rate by someone entitled to the Golden Ager band is not usually corrected by the bank noticing later.
Common questions
Does a longer Indian Bank deposit always pay more?
No, and at present it is close to the reverse. On the schedule effective 4 August 2026 the general-public peak is 6.65% on the 555-day IND Grow deposit, and every ordinary bucket longer than that pays less — 6.15% from two to three years, 6.05% from three to five, and 6.00% from five years to ten. IND Prosper at 777 days is the only step back up, and at 6.60% it is still under the peak. A depositor who locks money for a decade earns 0.65 percentage point a year less than one who commits it for about eighteen months. Longer tenure buys a fixed rate for longer, not a higher one.
Can I get the 555-day rate on an 18-month deposit?
No. The 6.65% row is exactly 555 days wide. Book 554 or 556 days and the rate falls to 6.20%, because both sit in the over-one-year-to-under-two-years bucket. Eighteen calendar months is roughly 548 days, which lands in that bucket too. On ₹5,00,000 held for the term, the 0.45 percentage point costs about ₹3,400 in interest. Enter the tenure in days on the booking screen rather than months, and check the maturity date before confirming. The same applies to the 300-day, 500-day and 777-day products, none of which has a plateau around it.
Is there a penalty for closing an Indian Bank FD early?
It depends on two things: the size of the deposit and how long it has run. A deposit of up to ₹5 lakh that has stayed at least 181 days pays no penalty; the rate is simply rebuilt to the card rate for the period actually served, as it stood on the date of deposit. Close it before 181 days, or close a deposit above ₹5 lakh at any point, and 1.00 percentage point comes off that rebuilt rate. Inside seven days nothing is paid at all. Among individual depositors, only staff, ex-staff and ex-staff who are senior citizens are exempt from the charge; ordinary senior citizens are not.
What does a depositor aged 80 or above actually get?
Under the IB Golden Ager product, 0.75 percentage point over the general rate on every bucket up to five years and a full percentage point on the bucket above five years — against 0.50 and 0.75 for a depositor aged 60 to 79. So the 80-plus band is worth an extra 25 basis points everywhere: 7.40% against 7.15% on the 555-day deposit. The product has its own conditions: the depositor must be 80 on the date of opening, the account is held in one name only with no joint holding, and nomination is mandatory. A loan or overdraft is permitted up to 90% of the balance at 1% over the deposit rate.
What happens to a 300-day IND Supreme 2.0 deposit at maturity?
If you gave no instruction, it rolls over automatically. While the product is live, it renews under the same product for another 300 days at the rate prevailing on the maturity date. If the product has been withdrawn by then, the bank's product sheet says the deposit is renewed into the 270-days-to-under-one-year bucket of the ordinary schedule, which pays 4.75% today against 6.20% on the special. Indian Bank retired two special tenors on 5 June 2026, so withdrawal is a live possibility. Give a maturity instruction at booking, or diarise the date.
Is the tax-saver FD rate different from the ordinary five-year rate?
No. Indian Bank states that its domestic term-deposit rate also applies to the IB Tax Saver Scheme, so the five-year row governs: 6.00% for the general public and 6.50% for a senior citizen. What differs is the product. It takes ₹1,000 to ₹1,50,000 in a financial year, locks the money for five years, and allows neither a loan nor foreclosure during the lock-in. The only thing bought with that is the deduction the bank's page still labels section 80C, which exists under the old tax regime only — the new regime, now the default, offers nothing for it.
Sources
Rates and rules on this page were read directly from the following sources on the dates shown. Figures change — if you are about to act on one, confirm it at the source.
- Deposit Rates — Interest Rates on Domestic Retail Term Deposits less than ₹3 crore (revised w.e.f. 04.08.2026), IND Supreme 2.0 / IND Grow / IND Prosper / IND Green tables, savings bank rates w.e.f. 04.07.2026 and foreclosure charges; page last modified 21 Aug 2026
- Terms and Conditions — Term Deposit Account (maturity instruction options), last modified 11 Jun 2026
- Ind Grow — 555-day retail term deposit product sheet, last modified 4 Aug 2026
- IND SUPREME 2.O – 300 DAYS — product sheet, last modified 4 Aug 2026
- IND Prosper — 777-day retail term deposit product sheet, last modified 4 Aug 2026
- IND GREEN 500 Days — product sheet, last modified 31 Jul 2026
- IB Golden Ager – Term Deposit Product for Super Senior Citizens, last modified 18 Apr 2026
- IB Tax Saver Scheme
- Fixed Deposit — product details, last modified 12 Apr 2026
- Money multiplier Deposits — product details, last modified 12 Apr 2026
- Short Term Deposits — product sheet, last modified 18 Apr 2026
- IND Non-Callable Deposit — product sheet, last modified 18 Apr 2026
- Guide to deposit insurance
- Small savings schemes — interest rates
- Income Tax Department e-Filing portal