Indian Overseas Bank and Bank of Baroda Raise Fixed Deposit Interest Rates

Indian Overseas Bank has raised the interest rate on its 444-day special fixed deposit scheme by 15 basis points for retail deposits under 3 crore rupees, effective November 10. The rate moves from 6.60 percent to 6.75 percent. For the 444-day non-callable fixed deposit, the rate increases by 10 basis points to reach 6.85 percent. The 444-day NRE term deposit rate also rises from 6.60 percent to 6.75 percent. Senior citizens receive 0.50 percent extra interest over the standard rate, while super senior citizens aged 80 and above get an extra 0.75 percent. This brings the annual return to 6.75 percent for general customers, 7.25 percent for senior citizens, and 7.50 percent for super senior citizens. Rates on other fixed deposits remain unchanged. On a 10 lakh rupee investment for 444 days, general customers earn 92,671 rupees in interest for a total payout of 10,92,671 rupees, while senior citizens earn 99,532 rupees for a total of 10,99,532 rupees.

Other Bank Updates

According to Prabhat Khabar, Bank of Baroda has also revised its fixed deposit rates by increasing the interest on its 555-day bob Golden Goal Deposit Scheme by 0.10 percent, with new rates effective from November 11, 2026. General customers now receive 6.85 percent annual interest instead of 6.75 percent. Senior citizens get 7.35 percent, and super senior citizens aged 80 and above receive 7.45 percent.

Context

Banks periodically adjust fixed deposit interest rates for specific tenure schemes to attract retail deposits and manage their liquidity requirements. Fixed deposits typically require funds to stay locked for a set period, with penalties applied for early withdrawals, and the earned interest remains subject to applicable taxes.