As of July 20, 2025, Utkarsh Small Finance Bank (SFB) offers attractive Fixed Deposit (FD) schemes tailored for senior citizens, providing higher interest rates, flexible tenures, and secure investment options. This comprehensive guide covers the latest FD rates, benefits, application process, and answers to frequently asked questions to help senior citizens make informed investment decisions.
Introduction to Utkarsh Small Finance Bank FD for Senior Citizens
Utkarsh Small Finance Bank is a leading financial institution in India, recognized for its commitment to financial inclusion and competitive banking products. Established as a microfinance institution in 2009, it transitioned into a small finance bank in 2016 and has since earned accolades like the SKOCH Award (Gold) for Inclusive Insurance. For senior citizens, Utkarsh SFB provides specialized FD schemes with higher interest rates compared to regular depositors, ensuring guaranteed returns and financial security. With tenures ranging from 7 days to 10 years, these schemes cater to diverse financial goals, whether for short-term savings or long-term wealth creation.
Current FD Interest Rates for Senior Citizens
The following table lists the latest FD interest rates for senior citizens at Utkarsh Small Finance Bank, effective from July 4, 2025:
| Tenure | FD Rates for Senior Citizens (% p.a.) |
|---|---|
| 7 Days to 45 Days | 4.50% |
| 46 Days to 90 Days | 5.00% |
| 91 Days to 180 Days | 5.75% |
| 181 Days to 370 Days | 6.75% |
| 371 Days to less than 2 Years (729 Days) | 8.00% |
| 2 Years (730 Days) to 3 Years (1095 Days) | 8.50% |
| Above 3 Years to less than 4 Years | 8.25% |
| 4 Years (1461 Days) to 5 Years (1826 Days) | 8.00% |
| Above 5 Years to 10 Years | 7.75% |
Source: Utkarsh Small Finance Bank Interest Rates PDF
These rates are competitive, with the highest rate of 8.50% p.a. offered for tenures between 2 and 3 years. For tax-saving FDs with a 5-year lock-in, senior citizens can earn 8.00% p.a., making it a viable option for tax planning.
Benefits of Utkarsh SFB FD for Senior Citizens
Utkarsh SFB’s FD schemes offer several advantages for senior citizens:
- Higher Interest Rates: Senior citizens receive an additional 0.50% to 0.60% interest compared to general depositors, maximizing returns.
- Flexible Tenure Options: With tenures ranging from 7 days to 10 years, seniors can choose plans that align with their financial goals, whether short-term liquidity or long-term savings.
- Safety and Security: Deposits are insured by the Deposit Insurance and Credit Guarantee Corporation (DICGC) up to ₹5 lakhs per depositor, ensuring protection in case of bank failure.
- Customizable Interest Payouts: Interest can be received monthly, quarterly, or at maturity, providing flexibility for seniors needing regular income.
- Tax Benefits: Tax-saving FDs with a 5-year lock-in period allow deductions of up to ₹1.5 lakhs under Section 80C of the Income Tax Act.
- No Maximum Investment Limit: The minimum deposit is ₹1,000, but there is no upper limit, allowing seniors to invest as per their capacity.
- Premature Withdrawal Option: FDs can be withdrawn after 7 days, subject to a 1% penalty (except within the first 7 days), offering liquidity when needed.
- Nomination Facility: Seniors can nominate a beneficiary for their FD, ensuring seamless transfer of funds.
How to Open an FD Account with Utkarsh SFB
Opening an FD account with Utkarsh Small Finance Bank is simple and can be done through the following steps:
- Choose Your Application Method: Visit a nearby Utkarsh SFB branch or apply online via the bank’s official website (www.utkarsh.bank).
- Complete the Application Form: Provide personal details such as name, address, and contact information.
- Submit Required Documents:
- Identity Proof: Aadhaar Card, PAN Card, Passport, or Voter ID.
- Address Proof: Aadhaar Card, Utility Bill, or Voter ID.
- Age Proof: Any valid ID confirming senior citizen status (age 60 or above), such as Aadhaar or Passport.
- Deposit the Amount: Start with a minimum of ₹1,000. There is no upper limit for deposits.
- Select Tenure and Payout Option: Choose your preferred tenure and interest payout frequency (monthly, quarterly, or at maturity).
For online applications, you can log in to Utkarsh SFB’s internet banking portal or use third-party platforms like Stable Money, which may offer additional convenience for booking FDs.
FAQ on Utkarsh SFB FD for Senior Citizens
Below are answers to common questions about Utkarsh Small Finance Bank’s FD schemes for senior citizens:
Q1: What is the minimum and maximum tenure for FD at Utkarsh SFB?
A1: The minimum tenure is 7 days, and the maximum is 10 years, offering flexibility for various financial needs.
Q2: What is the minimum deposit amount required?
A2: The minimum deposit amount is ₹1,000, with no upper limit, allowing seniors to invest according to their financial capacity.
Q3: Are there any penalties for premature withdrawal?
A3: Yes, a 1% penalty applies to premature withdrawals after 7 days. No penalty is charged if the FD is closed within 7 days of opening.
Q4: How can I receive the interest on my FD?
A4: Interest can be paid monthly, quarterly, or at maturity, depending on your preference.
Q5: Is there a tax-saving FD option available?
A5: Yes, Utkarsh SFB offers tax-saving FDs with a 5-year lock-in period, providing an interest rate of 8.00% p.a. for senior citizens and tax deductions under Section 80C.
Q6: How are the deposits insured?
A6: Deposits are insured by DICGC up to ₹5 lakhs per depositor, covering fixed deposits, savings, and other accounts in case of bank failure.
Q7: Can I nominate someone for my FD?
A7: Yes, a nomination facility is available, allowing you to designate a beneficiary for your FD.
Q8: What documents are required to open an FD account?
A8: You need identity proof (e.g., Aadhaar, PAN), address proof (e.g., Utility Bill, Aadhaar), and age proof to confirm senior citizen status.
Q9: Can I close my FD before maturity?
A9: Yes, premature closure is allowed after 7 days with a 1% penalty. No penalty applies within the first 7 days.
Q10: How can I check my FD balance?
A10: You can check your FD balance via Utkarsh SFB’s internet banking portal, by visiting a branch, or through SMS alerts if enabled.
