State-owned lender Bank of India has announced an increase in interest rates on select medium and long-term fixed deposits (FDs) for deposits below ₹3 crore. The revised rates came into effect from May 18, 2026, offering better returns to depositors amid rising competition for savings.
The bank has revised rates across multiple tenure brackets. Fixed deposits with a maturity period of one year to less than two years will now earn 6.5% per annum. Deposits with tenure between two and less than three years will offer 6.6%, while three-year FDs will fetch 6.7% interest.
Extra Benefits for Senior Citizens
Senior citizens will continue to receive additional interest benefits:
+50 basis points (bps) for deposits between six months and less than three years.
Super senior citizens will receive +65 bps for the same tenure.
For deposits with maturity above three years, the bank has enhanced benefits further:
Senior citizens will get +75 bps over standard rates.
Super senior citizens will receive +90 bps extra interest.
Special Incentives on Large Non-Callable Deposits
The lender also announced that non-callable deposits above ₹1 crore, with a minimum tenure of one year, will earn an additional 15 bps over applicable rates. However, premature withdrawal and loan against FD facilities will only be available for callable deposits.
Customers can open fixed deposits via bank branches, internet banking, or the mobile app, making the process convenient and accessible.
What This Means for Investors
The move signals increased competition among banks to attract deposits as interest rates remain elevated. The hike is likely to benefit conservative investors looking for safe and stable returns through fixed deposits.
Mumbai | 18 May 2026: Public sector bank Bank of India ne ₹3 crore se kam ke Fixed Deposits (FDs) par interest rates badha diye hain. Ye naye rates 18 May 2026 se effective ho gaye hain. Zyada returns dene ke liye bank ne medium aur long-term tenures par rate hike kiya hai.
📈 New FD Interest Rates kya hain?
Bank ne different tenure ke liye updated rates announce kiye:
1 year – less than 2 years: 6.5% interest
2 years – less than 3 years: 6.6% interest
3 years FD: 6.7% interest
Iska matlab hai ki medium-term investors ko ab better return milega.
👴 Senior Citizens ke liye Extra Fayda
Senior citizens ko hamesha ki tarah extra benefit milta rahega:
6 months – 3 years FD:
Senior Citizens → +0.50% extra
Super Senior Citizens → +0.65% extra
3 years se zyada FD:
Senior Citizens → +0.75% extra
Super Senior Citizens → +0.90% extra
Ye increase retirement investors ke liye kaafi attractive ho sakta hai.
💰 Non-Callable FD par aur Bonus
Bank ne ye bhi announce kiya:
₹1 crore se upar ke non-callable deposits par
+0.15% extra interest milega
Note: Non-callable FD me premature withdrawal ya loan facility available nahi hoti.
📲 FD Kaise Open Kare?
Customers FD open kar sakte hain:
Bank branch me jaakar
Internet banking se
Mobile banking app se
📊 Investors ke liye kya matlab?
Ye move dikhata hai ki banks deposits attract karne ke liye competition badha rahe hain. Safe aur stable returns chahne wale investors ke liye FD ek strong option ban raha hai.