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Fixed deposits provide depositors higher steady rate of interest as compared to a regular savings account until maturity. Fixed deposits schemes are popular investment instruments because they are immune to market fluctuations as compared to other alternatives available. The central bank of India offers competitive interest rates for a range of deposit periods to suit your needs.

Central Bank of India Fixed deposit interest rates


Tenure FD Rates Senior Citizen FD Rates
7 days to 14 days 4.75% 5.25%
15 days to 30 days 5.50% 6.00%
31 days to 45 days 5.50% 6.00%
46 days to 59 days 5.50% 6.00%
60 days to 90 days 5.50% 6.00%
91 days to 179 days 6.50% 7.00%
180 days to 270 days 6.50% 7.00%
271 days to 364 days 6.50% 7.00%
1 year to 1 year 364 days 6.60% 6.10%
2 years to 2 years 364 days 6.50% 7.00%
3 years to 4 years 364 days 6.50% 7.00%
5 years to 10 years 6.50% 7.00%

The above rates are applicable for deposits of below Rs. 1 crore.

Central Bank of India FFD: Special features

  • Nomination facility is available to any family member or spouse can be nominated to   receive the final amount
  • The central bank of India FD options allows you to invest a minimum amount of Rs 100 and multiples of Rs 100 thereafter.
  • Customers can avail loan facility upto 90% of the FD amount.
  • Competitive interest rates are offered against all FD schemes
  • Easy and fast liquidity options are available.
  • NRE NRO and FCNR deposit facility is available.
  • FD account can be opened online or by visiting your nearest Central bank of India branch. Online FD account opening facility is available as well.
  • Senior citizens can earn an extra 0.5% rate on all FD schemes as compared to regular citizens.

Central Bank of India FD: Is it the best way to save?

Fixed deposit options are good investment instruments if you have a low-risk appetite and need guaranteeing steady gains. However, while fixed deposits offer security they might not be ideal in terms of wealth creation. Hence other investment options like mutual funds should be explored as well. Mutual funds are very effective if you limited capital to begin investing with since it exposes you to hundreds and thousands of stocks that you don’t have to go out there and buy for yourself.

Your funds are managed by professional fund managers who have experience in predicting market trends and make sure your money is invested in the right way. This mitigates the risk that mutual funds come with to a large extent.

There is less liquidity in the case of fixed deposits till the deposit tenure is over, on the other hand, mutual funds over higher liquidity in case the lock-in period has been crossed. In a positive market, you can get returns as high as 2 times as compared to fixed deposits which have fixed income rate for a deposit tenure. Hence if quicker wealth creation is your goal and you have a moderate risk-taking appetite, investing in mutual funds can prove to be very fruitful.

Central Bank of India Fixed Deposit Interest Rate

Central  Bank of India FD: Eligibility Criteria

The following groups and individuals are eligible to open an FD account with Central Bank of India:-

  • Individuals
  • Joint accounts for 2 or more individuals
  • Partnership firms
  • Trusts
  • Minors
  • Blind persons
  • Illiterate persons
  • Joint Hindu families
  • Limited companies and partnership firms
  • Municipalities and panchayats
  • Charitable, religious, and educational institutions
  • Associations, societies, clubs etc.
  • Sole proprietary concerns

Central bank of India: Premature Withdrawal

Premature withdrawal is allowed although appropriate penal charges will be levied. A penalty of 1% interest rate is levied on premature withdrawal of deposits more than Rs 5 lakhs. However, no penalty is levied in case of account renewal for a longer term as compared to the initial deposit period.

Tax benefits on Central bank of India fixed deposit

The central bank of India offers a tax saving option under the “Cent Tax saving deposit” stream with a minimum lock-in period of 5 years. Individuals, minors, and HUFs are eligible for this.Minimum deposit starts from multiples of Rs 100 and the maximum limit is 1,50,000 You can go for this fixed deposit scheme to avail tax benefits under section 80C of the Income Tax Act,1961.  

However it is important to note here that in case of fixed deposits, tax levied is dependent on the tax bracket you fall into, irrespective of FD tenure. If the interest earned on your fixed deposit is more than Rs 10,000, TDS deduction of 10% would be deducted by the bank. TDS certificate will be provided by the bank upon deduction.

Mutual funds have an edge over fixed deposit in this regards as tax payable on mutual funds depends on the category. For example, returns on equity funds like  Equity Linked Savings Scheme (ELSS) are tax-free and upto 1.5lakh can be claimed under section 80C of the Income Tax Act,1961 are tax exempt. Also, long-term capital gains on equity mutual fund units held for more than 12 months are tax exempt.They offer a higher capital appreciation potential and a smaller lock-in period of 3 years. Hence we can say  investing in Mutual funds is viable tax saving option

Documents required to open Central bank FD account

1. Identity proof

  • Passport
  • PAN card
  • Voter ID card
  • Driving license
  • Government ID card
  • Photo ration card
  • Senior citizen ID card

2. Address proof

  • Passport
  • Telephone bill
  • Electricity bill
  • Bank Statement with Cheque
  • Certificate/ ID card issued by Post office

Types of Fixed Deposit offered by Central Bank of India

  •  Fixed/Short Term Deposit– A standard FD scheme offered by Central Bank of India wherein customers are paid fixed interest amounts at regular intervals.
  • Quarterly/Monthly Term Deposit– In this scheme, customers can choose to receive interest payments at monthly or quarterly intervals
  • You can also choose to receive payment upon maturity of account.

Similar Banks Offering FD


Similar Banks Offering FD
Indian Bank IDBI Bank HDFC Andhra Bank
Canara Bank Citibank Allahabad Bank Corporation Bank
Bank of India Bank of Baroda PNB RBL
Union Bank of India Kotak Mahindra Bank ICICI SBI
HSBC Bank Axis Bank IDFC Bank

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