Indian Overseas Bank FD Interest Rates

IOB FD Scheme Options

IOB offers a range of fixed deposit schemes for NRIs, including NRO, NRE, RFC, and FCNR deposits. FCNR deposits are available in US Dollar (USD), British Pound Sterling (GBP), Euro (EUR), Japanese Yen (JPY), Canadian Dollar (CAD), Australian Dollar (AUD), Swiss Franc (CHF), New Zealand Dollar (NZD), and Singapore Dollar (SGD). RFC deposits can be opened in USD, GBP, EUR, JPY, CAD, and AUD. 

The table below shows the latest FD interest rates across key tenures.

*IOB Bank FD Interest Rates w.e.f. May 15th, 2026

Indian Overseas Bank FD Interest Rates

IOB FD Rates on Domestic/NRO/NRE Deposits of Below ₹3 Crore w.e.f. 15 May 2026

IOB FD Rates on Green Deposit Scheme of Deposits Below ₹3 Crore w.e.f. 15 September 2025

IOB Tax Saver Deposit

Interest Rates on FCNR Deposits w.e.f. 15 March 2026

Interest Rates on RFC Deposits w.e.f. 15 March 2026

Types of IOB Fixed Deposit Schemes

Indian Overseas Bank offers a range of fixed deposit schemes to suit different investment needs and financial goals.

1. Regular Fixed Deposit with Reinvestment of Interest Component

   • Allows depositors to reinvest the interest earned on their fixed deposit.
   • Minimum deposit: ₹1,000 and thereafter in multiples of ₹100
   • Tenure: 6 months to 10 years
   • Interest is compounded quarterly and paid at maturity.
   • Premature withdrawal is permitted as per the bank's prevailing rules.
   • Loan or overdraft of up to 90% of the deposit amount, including accrued interest, is available.

2. Special Fixed Deposit

   • Minimum deposit: ₹3,000
   • Tenure: 6 months to 10 years
   • Interest payout options: Monthly or Quarterly
   • Suitable for all those customers who prefer regular monthly or quarterly interest payouts instead of receiving interest at maturity.
   • Monthly interest is paid at a discounted value.

3. Tax Saver Scheme

   • Deposits can be opened under Reinvestment Deposit or Special Fixed Deposit.
   • Minimum deposit: ₹10,000
   • Maximum deposit: ₹1.5 lakh in a financial year
   • Lock-in period: 5 years
   • Interest can be paid monthly, quarterly or half-yearly, depending on the selected deposit option.
   • The scheme offers tax benefits under the applicable provisions of the Income-tax Act, 2025. 
   • Premature withdrawal and loan facilities are not permitted during the lock-in period.
   • Senior citizens are eligible for an additional 0.50% p.a. over the applicable interest rate.
   • Nomination facility is available, except for deposits held by or on behalf of a minor.

4. IOB Green Deposit

   • Minimum deposit: ₹1,000
   • Tenure: 999 days
   • Available under Reinvestment Deposit and Special Fixed Deposit.
   • This scheme is designed to increase deposits for financing eligible green projects and promoting sustainable finance.
   • Interest rate is applicable as notified by the Indian Overseas Bank from time to time.
   • Senior citizens receive an additional 0.50% p.a.
   • Super senior citizens (80 years and above) receive an additional 0.75% p.a.
   • Loan and overdraft facilities are available against eligible deposits.

5. IOB Eighty Plus – Term Deposit

   • Exclusive to resident super senior citizens aged 80 years and above.
   • Minimum deposit: As applicable under the selected deposit scheme.
   • Maximum deposit: Less than ₹1 crore
   • Tenure: 6 months to 10 years
   • Additional interest of 0.75% p.a. over the regular interest rate is offered.
   • Loan up to 90% of the deposit amount is available for self or jointly with spouse.
   • Nomination facility is available.

6. Floating Rate Deposits

   • Minimum deposit: ₹1 lakh and thereafter in multiples of ₹10,000
   • Tenure: 3 years to 10 years
   • It offers interest linked to Government Security (G-Sec) yields instead of a fixed interest rate.
   • Interest is credited quarterly.
   • Interest rates are reset every six months as per the bank's policy.
   • Premature closure is permitted after the prescribed minimum period, subject to applicable conditions and penalties.
   • A penalty of 1% is applicable on premature closure.
   • Loan up to 90% of the deposit amount is available.
   • Loan interest is charged at 2% above the floating rate for self-borrowers and 3% above the floating rate for third-party borrowers.

7. Vardhan – Deposit of Senior Citizens

   • Vardhan scheme is specially designed for resident senior citizens aged 60 years and above and offers additional interest along with select banking benefits.
   • Eligibility: Resident senior citizens aged 60 years and above
   • Minimum deposit: ₹5,000
   • Tenure:
     • Fixed Deposit: 15 days to 10 years
     • Recurring Deposit: 6 months to 10 years
   • Senior citizens receive an additional 0.50% p.a. over the applicable interest rate.
   • Free collection of outstation instruments up to ₹10,000 per month (maximum two instruments), excluding actual postal charges.
   • Premature withdrawal and loan facilities are available as per the applicable terms and conditions.
   • Complimentary International Debit Card is provided.

8. IOB Suvidha

   • Minimum deposit: ₹1 lakh
   • Tenure: 15 months to 10 years
   • Cash Credit facility of up to 90% of the deposit amount is available.
   • Minimum Cash Credit limit: ₹90,000
   • Maximum Cash Credit limit: ₹25 crore
   • The scheme combines a fixed deposit with a Cash Credit (CC) facility, allowing customers to earn interest while accessing funds when required.
   • Additional deposits can be made in multiples of ₹1 lakh.
   • A minimum margin of 10% is applicable for the Cash Credit facility.
   • The Cash Credit account is linked to the deposit and adjusted on maturity.

9. IOB Saral

   • Allows customers to withdraw only the required portion of their deposit while the remaining balance continues to earn interest at the contracted rate.
   • Eligibility: Individuals, including NRIs and minors
   • Minimum deposit: ₹10,000
   • Deposits are maintained in units of ₹1,000.
   • No maximum deposit limit
   • Tenure: 1 year to 10 years
   • Partial withdrawals are permitted without closing the entire deposit.
   • The remaining deposit continues to earn interest at the originally contracted rate.
   • Premature withdrawal charges:
     • Up to ₹15,000: Nil
     • Above ₹15,000 and up to ₹5 lakh: 0.50%
     • Above ₹5 lakh: 1%
   • For NRI deposits, no interest is payable if the deposit is closed before completion of one year.

10. Motor Accident Claims Annuity (Term) Deposit Account- IOB MACAD

    • Minimum deposit: Based on a minimum monthly annuity payout of ₹1,000
    • Tenure: 3 years to 10 years
    • IOB MACAD scheme is meant for depositing compensation awarded by courts or tribunals in motor accident claim cases.
    • Deposits for less than 36 months are opened as regular fixed deposits.
    • Nomination facility is available.
    • Loan and overdraft facilities are not permitted.
    • Premature closure is permitted only with the approval of the competent court.
    • No premature closure penalty is applicable when closure is permitted by the court.

11. Foreign Currency (Non-Resident) Account

    • This scheme enables NRIs to maintain fixed deposits in designated foreign currencies without exchange rate risk on the principal amount.
    • Available in USD, GBP, EUR, JPY, CAD, AUD, SGD, NZD and CHF
    • Minimum deposit:
      • 1,000 units for all eligible currencies except JPY
      • 1,00,000 units for JPY
    • Tenure: 1 year to 5 years
    • Principal and interest are fully repatriable.
    • Premature closure is permitted subject to the applicable terms.
    • No interest is payable if the deposit is closed before completion of one year.

12. Non-Resident External (NRE) Accounts

    • Enables NRIs to invest their overseas earnings in India while enjoying full repatriation of the deposit and interest.
    • Loan facility is available against eligible deposits.
    • Premature closure is permitted as per the applicable terms.
    • Nomination facility is available.
    • Both principal and interest are fully repatriable.

13. Resident Foreign Currency (RFC) Account

    • Allows returning NRIs to maintain their foreign currency savings in India after becoming residents.
    • Available in USD, GBP, EUR, JPY, AUD and CAD
    • Eligible for NRIs returning to India for permanent settlement, subject to the applicable eligibility conditions.
    • RBI approval is not required for opening the account.
    • Helps all customers continue holding eligible foreign currency deposits after returning to India.

14. Multiple Deposit Plan I & II (MDP I & II)

    • It is available under two variants: MDP I and MDP II
    • The scheme allows all customers to split their investment into multiple deposit units, making partial withdrawals more convenient while the remaining deposits continue to earn interest.
    • Interest is compounded quarterly.
    • Deposits are maintained in multiple units.
    • Partial withdrawal of individual deposit units is permitted as per the applicable rules.
    • The remaining deposit units continue to earn interest until maturity.

15. Unfixed Deposit

    • This scheme is designed for those customers who wish to park surplus funds for a short period while earning interest.
    • Minimum deposit: ₹50 lakh
    • Tenure: 7 days to 179 days
    • Suitable for short-term investment of surplus funds.
    • Available as a reinvestment deposit.
    • Other terms and conditions are governed by the bank's prevailing guidelines.

Premature Withdrawal Facility of Fixed Deposits

• Indian Overseas Bank allows premature withdrawal of eligible fixed deposits, subject to the terms of the respective deposit scheme.
• Indian Overseas Bank FD Premature withdrawal is not permitted for the Tax Saver Deposit during the lock-in period.
• Non-Callable Retail Term Deposits cannot be closed before maturity, except in cases permitted under the bank's policy.
• Interest is paid based on the applicable rate for the actual period the deposit remained with the bank, after deducting the applicable penalty.
• Foreclosure Charges:

Loan Against IOB Fixed Deposit

• The Indian Overseas Bank loan against FD facility allows customers to avail of a loan or overdraft against eligible fixed deposits. 
• Customers can access up to 90% of the deposit amount as a loan through qualified schemes.
• The sanctioned loan amount relies on the deposit arrangement and prevailing guidelines of the bank.
• Interest rates on loans vary depending on the applicable deposit scheme.
• Tax Saver Deposits are not eligible for loan or overdraft facilities.
• The deposit continues to earn interest while it is pledged as security for the loan.

IOB FD Calculator

The IOB FD Interest Calculator is an online tool that lets investors calculate the amount of interest and the maturity amount of their fixed deposits before they invest. Customers can input the deposit amount, term and applicable interest rate to quickly compute the estimated maturity value without undertaking tiresome computations. The calculator also enables users to check alternative amounts and tenures for investment, helping them to choose the fixed deposit that suits them best in achieving their financial goals.  

Key Takeaways

The Indian Overseas Bank FD rates for general residents range from 3.00% to 6.60% p.a. The maximum rate (6.60% p.a.) is provided for the 444 days term. Senior citizens earn an additional 0.50% p.a. and super senior people get an additional 0.75% p.a. IOB also provides Tax Saver, Green Deposit, FCNR, NRE and RFC deposits. Eligible FDs offer premature withdrawal and a loan of up to 90% of the deposit amount.