Recent comparisons reveal that ICICI Bank’s higher five-year fixed deposit rates could significantly benefit savers with larger deposits, as the gap in interest rates narrows the difference in maturity values compared to SBI.
For savers looking for certainty rather than market-linked returns, a fixed deposit remains a straightforward option, and a recent comparison shows that ICICI Bank is currently offering a better five-year rate than State Bank of India. Zee Business said the difference matters most for larger deposits, because even a modest gap in interest can translate into a noticeably higher maturity value over time.
According to SBI’s fixed deposit rate card, the bank is offering 6.05% a year on five-year deposits for general customers. Paisabazaar’s February 2026 update on SBI’s rates shows that the lender’s five-year-to-10-year bucket sits at that level for ordinary depositors, with senior citizens eligible for a higher return and an additional premium under the Wecare scheme.
ICICI Bank, by contrast, is currently advertising a 6.50% annual rate for general citizens on five-year deposits, according to its official rate page updated in June 2026. The bank also says senior citizens can earn up to 7.10%, while premature withdrawal is allowed subject to its terms and penalties. Paisabazaar’s April 2026 summary also places ICICI’s five-year tax-saver deposit at 6.50% for the general public.
Using quarterly compounding for a cumulative deposit, Zee Business calculated that Rs 10 lakh would grow to about Rs 13,50,176 at SBI and Rs 13,80,420 at ICICI Bank. On Rs 20 lakh, the estimated maturity values are Rs 27,00,353 and Rs 27,60,840 respectively, while Rs 30 lakh would rise to roughly Rs 40,50,529 at SBI and Rs 41,41,259 at ICICI. The gap widens as the deposit size increases, but investors still need to check the latest rate before booking, as well as withdrawal terms, payout options and tax treatment.
Disclaimer: This article is intended to inform and educate, not to recommend or endorse any financial product, investment or strategy. Please consider your own financial circumstances and seek professional advice where appropriate before making financial decisions.
