NRI FD Interest Rates in India 2026

What is a Fixed Deposit?

A fixed deposit (FD) is a secured investment option where you deposit a lump sum amount with a bank or a financial institution for a fixed tenure ranging from 7 days to 10 years. The FDs carry a fixed rate of interest. So your returns are guaranteed and stable. Upon reaching maturity, you may get the principal and the interest earned.

Top 10 Banks Offering the Highest FD Rates in 2026

NRIs can invest in fixed deposits through NRE, NRO and FCNR accounts offered by various Indian banks. The table below highlights NRI FD interest rates for deposits up to ₹5 crores.

*NRI fixed deposit interest rates as on June 2026.

NRI FD Rates Offered by Leading Public Sector Banks

Public sector banks continue to be the most popular option for NRIs owing to their huge branch network, government support and existing banking infrastructure. Below explore the public sector banks FD interest rates for NRI for deposits up to ₹3 crores (for some banks up to ₹5 crores):

*NRI FD interest rates as on June 2026.

NRI FD Rates Offered by Private Sector Banks

Digital banking facilities, flexible term alternatives and specialised NRI banking services are also offered by private sector banks. The following table explains different private sector banks NRI FD interest rates for the deposits generally up to ₹3 crores:

*NRI Fixed Deposits interest rates as on June 2026.

NRI FD Rates Offered by Small Finance Banks, Foreign Banks, and NBFCs

In addition to conventional banks, NRIs may opt for fixed deposit schemes from Small Finance Banks (SFBs), foreign banks and some NBFCs. Here’s an overview of the NRI FD rates offered by some of the popular financial institutions for deposits up to ₹3 crores (or up to ₹5 crores in same cases):

*NRI FD interest rates as on June 2026.

Types of Fixed Deposit Rates in India for NRIs

NRIs may invest in several types of fixed deposits depending upon the source of income, currency choice and repatriation needs. Here are the 3 major types of NRI fixed deposits available in India:

1. Non-Resident External (NRE) Fixed Deposit

   NRE Fixed Deposit allows NRIs to invest their overseas earnings in Indian Rupees. It is a preferred alternative for international investors because the principal amount and the interest earned are totally repatriable.

2. Non-Resident Ordinary (NRO) Fixed Deposit

   NRO Fixed Deposit is a practical option to manage your India income like rent, pension, dividend or any other domestic income. The deposit is in Indian Rupees and gives attractive FD interest rates.

3. Foreign Currency Non-Resident (FCNR) Fixed Deposit

   NRIs can open an FCNR fixed deposit to keep deposits in specified foreign currencies such as USD, GBP, EUR, AUD and others. Since the deposit is maintained in foreign currency, it helps protect investors from exchange rate fluctuations.

FD Rates in India for NRIs Based on Deposit Types

India NRI fixed deposit interest rate depends on the type of deposit account you choose. NRE and FCNR fixed deposits are offered by most banks and some banks additionally offer Resident Foreign Currency (RFC) deposits to NRIs returning from abroad who want to hold their funds in foreign currencies.

NRE FD Rates Offered by Leading Banks in India

NRIs can invest overseas profits in India through NRE fixed deposits and can avail repatriation benefits along with tax benefits. Below are the NRE FD rates offered by major banks across different tenures.

*NRI Fixed Deposit interest rates in India as on June 2026.

FCNR Deposit Interest Rates Offered by Indian Banks

The FCNR deposits allow NRIs to hold fixed deposits in chosen foreign currency and so reduce the risk of changes in currency exchange rates.

*NRI FD interest rates in India as on June 2026.

RFC Deposit Interest Rates Offered by Indian Banks

RFC deposits are available to returning NRIs who wish to continue holding foreign currency deposits after becoming residents in India.

*NRI FD interest rates in India as on June 2026.

Benefits of NRI Fixed Deposits

These are the benefits of the FD in India for NRIs:

• Tax-efficiency: NRI fixed deposits in India may offer tax benefits. Interest on NRE and FCNR deposits is completely tax-free in India, making it a very attractive option for NRIs to invest in.
• Higher FD Returns: NRE FDs offer far higher FD interest rates in India as compared to savings accounts.
• Security and Stability: FDs are a safe investment option as they are supported by the bank’s guarantee. This can give confidence to all those NRIs who might be worried about investing their money in unpredictable markets.
• Various Currency Choices: Most Indian banks offer fixed deposit choices in many currencies giving NRIs the chance to invest in a currency they want.
• Flexible Time: NRI can choose tenure of deposit as per their financial goals from a few months to few years.
• Repatriation of funds: NRIs are allowed to repatriate the principal amount along with the interest accrued on NRE FD at any time.
• Loan Facilities: A few banks provide you with the facility to take a loan against your NRI fixed deposit. It can be handy for NRIs who require finances in India without breaking their fixed deposits prematurely.
• Easy Online Access: Most banks provide online portals to handle NRI fixed deposits which makes it easy for NRIs to open, monitor and manage their investments from anywhere in the world.

Eligibility Criteria for NRI Fixed Deposits

The following qualifying criteria must be fulfilled by the individuals to open a fixed deposit (FD) account in India:

• Resident Individuals: A fixed deposit can be opened by an Indian resident separately or jointly. With the help of his parents or legal guardian, a minor can open an FD account.
• Non-Resident Indians (NRIs): NRIs can invest in fixed deposits through NRE, NRO or FCNR accounts, according to the rules of the RBI. You’ll need valid NRI & KYC status paperwork.
• Senior Citizens: Persons who are 60 years and above can open fixed deposits. Many banks provide higher FD interest rates for senior folks.
• Hindu Undivided Families (HUFs): As per the terms and conditions of the bank, HUFs can open fixed deposits in the name of the family entity.
• Enterprises and Institutions: Fixed deposits can be invested by Partnership firms, private and public enterprises, trusts, societies and other qualifying organisations.
• KYC Compliance: The applicants are required to complete Know Your Customer (KYC) formalities by giving authentic proof of identity and address as per the norms of the bank or financial institution.

Documents Required To Open NRI Fixed Deposit Accounts

The list of documents required to open an NRI FD Account and earn the best FD rates in India are as follows:

How to Open a Fixed Deposit Account?

NRIs can open an NRI deposit account through online or offline techniques depending upon the regulations of the bank.

Online Method

Follow these steps to open an NRI Fixed Deposit account online:

• Log In: Access Internet Banking or Mobile Banking.
• Select FD Type: Choose NRE, NRO or FCNR Fixed Deposit.
• Enter Details: Provide deposit amount, tenure and interest payout preference.
• Review FD Rates: Check applicable FD interest rates and maturity value.
• Confirm Deposit: Review information and pay from the associated account.
• Receive FD Receipt: The FD is generated and the receipt is generated in digital way.

Most leading private banks are offering a largely fully digital FD booking process. Though some NBFCs, like Shriram Finance, may still have you complete the application process completely offline.

Offline Method

• Visit a Branch: Approach a bank branch offering NRI banking services.
• Fill the Application Form: Complete the NRE, NRO or FCNR FD application.
• Submit Documents: Provide passport, visa/residence proof, PAN (if applicable) and address proof.
• Choose FD Details: Select the tenure and interest payout option.
• Fund the Deposit: Transfer the deposit amount through approved channels.
• Receive FD Receipt: The bank verifies the details and issues the FD receipt.

How to Choose the Right Fixed Deposit?

Comparing FD interest rates is not all about choosing the high interest rate fixed deposit. Consider these factors before you invest:

• Check Deposit Type: Depending on your eligibility and financial needs, you can choose from normal FDs, tax-saving FDs, NRE/NRO deposits or senior citizen FDs.
• Examine Compounding Frequency: It may be compounded monthly, quarterly, semi-annually or annually. The more times compounded, the higher the maturity value.
• Verify the Insurance Coverage on Your Deposit: Bank deposits are covered to the maximum allowed. Diversify large investments among institutions, if necessary.
• Consider Laddering Your Deposits: Instead of making a single FD for the whole total, create FDs for various tenures. It provides liquidity on a periodic basis and reduces the risk of reinvestment.
• Loan Against Fixed Deposit Facility: Many banks offer loan or overdraft facility against fixed deposit. This feature can be handy in case of financial problems.
• Review Auto-Renewal Terms: You can opt auto-renewal but note the bank’s process for renewing the deposit and the interest rate they may pay at maturity.
• Assess Customer Ease of Use: Think about aspects like access to online account, mobile banking, customer service and how easy it is to administer an FD across the years.

Why Invest in Fixed Deposits?

Interest rates are not fixed at all, so locking in a competitive FD rate today to ensure that you enjoy the stable returns in future. Here are some best reasons why you should invest in fixed deposits:

• Predictable Returns: Fixed deposits provide assured returns which are known at the time of investing and thus make financial planning easy.
• Protect Your Savings from Market Ups and Downs: Unlike market linked investments, the returns on FDs are not affected by the ups and downs of the stock market. So, they are helping to protect your capital.
• Investing With Small Money: Most of the banks provide the facility to open an FD with a very small initial deposit and therefore make it accessible to a wide spectrum of customers.
• Develop a Regular Income Stream: Non-cumulative fixed deposits that pay out interest monthly can be useful for retirees or for investors looking for income.
• Take Advantage of Compounding Growth: FDs which reinvest the interest income assist your money grow quicker if you stay invested for longer duration.
• Fixed Rates: In case FD rates fall more in future investors who have locked in higher rates before will continue to earn higher profits till maturity.

Key Takeaways

NRI fixed deposits are a safe way of earning returns on the money stored overseas and in India through NRE, NRO and FCNR accounts. The top banks will provide FD interest rates ranging from 2.75% p.a. to 7.00% p.a. in 2026. Before investing, all NRIs should compare the interest rates, tenure options, repatriation benefits, tax implications and withdrawal terms to select a fixed deposit that suits their financial goals properly.