YES Bank has lowered fixed deposit (FD) interest rate by up to 25 basis points (bps) for select tenures. The new rates, effective for deposits under ₹3 crore, offer interest rates ranging from 3.25% to 7.75% for regular citizens, and 3.75% to 8.25% for senior citizens.

The highest interest rate of 7.75% and 8.25% is offered on a tenure of 18 months.

Notably, the interest rate on FDs with an 18-month tenure has been reduced from 8% to 7.75%, reflecting a 25 bps decrease.

Here are the updated FD interest rates for tenures under ₹3 crore:

Tenure	Regular Citizens (%)	Annualised Yield (%)	Senior Citizens (%)	Annualised Yield (%)
7 days to 14 days	3.25%	3.25%	3.75%	3.75%
15 days to 45 days	3.70%	3.70%	4.20%	4.20%
46 days to 90 days	4.10%	4.10%	4.60%	4.60%
91 days to 120 days	4.75%	4.75%	5.25%	5.25%
121 days to 180 days	5.00%	5.00%	5.50%	5.50%
181 days to 271 days	6.10%	6.24%	6.60%	6.77%
272 days to < 1 year	6.35%	6.50%	6.85%	7.03%
1 year	7.25%	7.45%	7.75%	7.98%
1 year 1 day to < 18 months	7.50%	7.71%	8.00%	8.24%
18 months	7.75%	7.98%	8.25%	8.51%
18 months 1 day to < 24 months	7.75%	7.98%	8.25%	8.51%
24 months to < 36 months	7.25%	7.45%	7.75%	7.98%
36 months to < 60 months	7.25%	7.45%	8.00%	8.24%
60 months	7.25%	7.45%	8.00%	8.24%
60 months 1 day to <= 120 months	7.00%	7.19%	7.75%	7.98%

(Source: YES Bank)

Fixed deposit is a popular savings instrument offered by banks and financial institutions in which an individual deposits a sum of money for a fixed tenure at a predetermined interest rate.

This type of investment is considered safe and stable, as it is not affected by market fluctuations. At the end of the tenure, the investor receives the principal amount along with the accrued interest.

The rate of interest remains constant throughout the tenure, providing a predictable return.