Special fixed deposit schemes continue to attract investors seeking higher returns than regular term deposits, with the 555-day tenure emerging as one of the most popular options among banks. Several public and private sector lenders are offering preferential rates on these deposits, with senior citizens earning as much as 7.5% annually.

Unlike conventional FDs, special deposit schemes are launched for specific periods and tenures and often carry higher rates. Investors can choose between callable and non-callable options, depending on their liquidity requirements.

City Union Bank tops the list

Among major banks, City Union Bank offers the highest rate on 555-day deposits. General customers can earn 7.25% per annum, while senior citizens are eligible for 7.5%.

Karnataka Bank offers 7% to regular depositors and 7.4% to senior citizens. Indian Bank provides 6.8% to general customers and 7.3% to senior citizens on the same tenure.

Union Bank of India offers 6.65% to regular investors and 7.15% to senior citizens, while Canara Bank offers 6.6% and 7.1%, respectively.

MUST READ: Fixed deposits: Company FDs offer rates up to 9.1%, outpacing bank deposits but with higher risks

Golden Goal scheme

State-owned Bank of Baroda recently introduced the 'bob Golden Goal Deposit Scheme', a special 555-day term deposit for amounts below ₹3 crore.

Under the callable option, general customers, including NRE and NRO depositors, can earn 6.75% annually. Senior citizens are offered 7.25%, while super senior citizens receive 7.35%.

Customers opting for the non-callable version receive slightly higher rates. General customers can earn 6.8%, senior citizens 7.3%, and super senior citizens up to 7.4% per annum.

Highest 555-day FD rates

Bank    General Citizens    Senior Citizens
City Union Bank    7.25%    7.50%
Karnataka Bank    7.00%    7.40%
Indian Bank    6.80%    7.30%
Bank of Baroda    6.75%    7.25%
Union Bank of India    6.65%    7.15%
Canara Bank    6.60%    7.10%

Special FDs versus regular FDs

Fixed deposit rates across scheduled banks currently range from 2.5% to 8.1% for regular customers, depending on tenure and institution. Small finance banks and select private lenders continue to offer the highest rates.

Among all banks, Suryoday Small Finance Bank and Utkarsh Small Finance Bank offer the highest slab rates of 8.1%. Equitas Small Finance Bank and Shivalik Small Finance Bank offer up to 8%, while Jana Small Finance Bank offers up to 7.77%.

Among private sector lenders, IDFC First Bank and CSB Bank offer rates of up to 7.35%, while DCB Bank and Unity Small Finance Bank provide up to 7.5%.

Public sector banks generally offer lower rates. Punjab & Sind Bank offers a maximum of 6.85%, Indian Bank 6.8%, Bank of Baroda 6.75%, and State Bank of India 6.45%.

MUST READ: RBI temporarily lifts interest rate caps on select FCNR(B), NRE deposits till Sept 30

Why investors prefer special FD schemes

Financial planners say special FDs have become popular because they provide higher returns than many regular deposits without requiring investors to take on additional market risk.

However, investors are advised to compare callable and non-callable options, check premature withdrawal conditions and align the tenure with their financial goals before locking in funds.

With interest rates remaining attractive, the 555-day FD has emerged as a sweet spot for investors looking for relatively short-term deposits with enhanced returns.

MUST READ: As gold loses lustre, silver and lab-grown diamonds drive new growth

Published on: Jun 17, 2026 9:51 PM IST