HDFC vs ICICI Bank: When comparing senior citizen fixed deposits (FDs) offered by HDFC and ICICI Bank, it’s important to take into account the interest rates and perks that accrue over the course of a 5-year term on a deposit of Rs 10 lakh.
Interest Rates
Depending on the length of the deposit, HDFC Bank offers elderly citizens interest rates ranging from 4% to 7.75%. Senior adults can receive FD rates of up to 7.75% from ICICI Bank.
Calculation
Using the maximum interest rate offered by HDFC Bank (7.75%) and a 5-year term and a Rs 10 lakh deposit, the interest earned would be Rs 3,87,500. The interest earned would be the same at the highest rate offered by ICICI Bank, which is 7.75%.
Total Amount
With HDFC Bank, the entire amount at maturity would be Rs 13,87,500, which would include interest and principle. In a similar vein, Rs 13,87,500 would also apply to ICICI Bank.