The current Canara Bank fixed deposit (FD) interest rates reach up to 7.90% p.a., making FDs an attractive option for conservative savers. Canara Bank offers two main FD types:
- Callable: Permits premature withdrawal with adjusted interest rates.
- Non-Callable: Does not allow early withdrawal before maturity.
Key points about Canara Bank FDs:
- Senior citizens earn an additional 0.50% p.a. on most tenures.
- Rates vary by tenure and deposit type.
- Tenures are available from 7 days up to 10 years.
Below are the Canara Bank FD rates for callable deposits up to ₹2 crores. These rates help you grow your funds steadily while preserving capital.
Canara Bank FD Interest Rates for Callable Deposits Below ₹2 Crores
| Tenure of Term Deposits | Interest Rate (% p.a.) for General Public | Interest Rate (% p.a.) for Senior Citizens |
|---|---|---|
| 7 Days to 45 Days | 4.00 | 4.00 |
| 46 Days to 90 Days | 5.25 | 5.25 |
| 91 Days to 179 Days | 5.50 | 5.50 |
| 180 Days to 269 Days | 6.15 | 6.65 |
| 270 Days to less than 1 Year | 6.25 | 6.75 |
| 1 Year Only | 6.85 | 7.35 |
| 444 Days | 7.25 | 7.75 |
| Above 1 Year to less than 2 Years | 6.85 | 7.35 |
| 2 Years & above to less than 3 Years | 6.85 | 7.35 |
| 3 Years & above to less than 5 Years | 6.80 | 7.30 |
| 5 Years & above to 10 Years | 6.70 | 7.20 |
Disclaimer: These rates are indicative and subject to change at the bank’s discretion. Always verify current rates with the bank before investing.
Important considerations before investing in a Canara Bank FD:
- Canara Bank provides a Tax Saver Deposit scheme with tax benefits and an interest rate of around 6.70% p.a. for investments up to ₹1.50 lakhs under the relevant tax provisions.
- Deposits above ₹2 crores can be placed with the bank, but they may attract different rates and terms.
- Check the latest rates and terms before allocating funds so you can estimate returns accurately.
- Non-callable deposits may offer higher interest, but some non-callable options require a minimum investment of ₹15 lakhs.
Benefits of Investing in Canara Bank Fixed Deposits
Canara Bank FDs offer several advantages for conservative investors:
- Flexible Investment Range
The minimum deposit for most FD schemes can be as low as ₹1,000, enabling small investors to start comfortably. Certain short-tenure deposits may have higher minima, such as deposits for 7 to 14 days which may require a larger minimum amount.
- Varied Maturity Timelines
Tenures span from as short as 7 or 15 days up to 120 months (10 years), allowing you to match deposits to your financial goals and liquidity needs.
- Choice of Interest Payout Frequency
Interest can be credited at different intervals—monthly, quarterly, half-yearly, or annually—so you can choose a payout frequency that suits your cash flow preferences.
- Loan Against FD
Canara Bank allows loans against fixed deposits, typically up to 90% of the deposit value, enabling access to funds without breaking the FD and losing interest benefits.
- Auto-Renewal Option
Auto-renewal ensures your deposit is rolled over for the same tenure at prevailing interest rates upon maturity, helping maintain continuity of earnings if you do not redeem the FD.
- Partial Withdrawal Flexibility
Certain FD products permit partial withdrawals in specified denominations (for example, in units of ₹1,000), allowing you to meet urgent needs while keeping the remaining amount invested.
By understanding the FD rates and features, you can choose the deposit type and tenure that best match your objectives. Avoid premature withdrawals where possible to maximize returns.
Frequently Asked Questions on Canara Bank FD Interest Rates
What is the FD rate of Canara Bank?
As of the latest update in early 2024, Canara Bank FD rates range from roughly 4.00% to 7.90% p.a., depending on deposit amount, tenure, and deposit type.
Is Canara Bank safe for fixed deposits?
Yes. Canara Bank is a well-established public sector bank in India. Deposits are covered by the Deposit Insurance and Credit Guarantee Corporation (DICGC) up to the prescribed limits.
What is the best FD scheme in Canara Bank?
The best scheme depends on individual goals—liquidity needs, duration, and whether you are a senior citizen. Senior citizens typically receive higher rates, so their optimal choice may differ from regular investors.
Does Canara Bank give 7.5% interest?
Some tenure-specific rates for senior citizens—such as the 444-day callable deposit—can reach around 7.75% p.a. Rates change with market conditions and monetary policy, so they are not guaranteed indefinitely.
Is Canara Bank good for FD?
Yes. Canara Bank is generally considered a reliable FD provider due to its long-standing presence, government backing, multiple FD options, competitive rates, loan-against-FD facility, and auto-renewal and flexible maturity features.
What are the Canara Bank FD interest rates in 2024?
Current rates for callable and non-callable deposits under ₹2 crores generally range from around 4.00% to 7.90% p.a. Exact rates depend on deposit amount, deposit type, and chosen tenure, so confirm the latest schedule with the bank before investing.