Picture the scenario of putting away your money in a safe place and letting it grow without any disturbance by the market, while at the same time earning good returns that are higher than the inflation rate. In 2025, the Fixed Deposit schemes of Canara Bank will be the best choice for conservative investors who want a safe place for their money and a fixed income that is not affected by the fluctuations of the economy.
Why Choose Canara Bank FDs in 2025?
Canara Bank, which is one of the largest government-owned banks in India, has a variety of FD plans for domestic residents, senior citizens, and Non-Resident Indians (NRIs). The DICGC insures these deposits for a total amount of ₹5 lakh, so there is no risk at all. The terms can be as short as 7 days and as long as 10 years, allowing investors to synchronise their investments with their financial priorities. There are three choices for interest withdrawal: monthly, quarterly, and at maturity, making it suitable for those who need regular income.
Latest Interest Rates Overview
As of December 2025, Canara Bank is providing rates that are still quite competitive for deposits of less than ₹3 crore. Normal customers receive up to 7.25% p.a., whereas older persons receive an additional 0.50% rise, taking their total up to 7.75% p.a. The bank usually runs higher rates for special tenures to garner deposits.
The below table contains important rates for different tenures (callable deposits, general public; seniors add 0.50%):
| Tenure | General Public (% p.a.) | Senior Citizens (% p.a.) |
|---|---|---|
| 7 to 45 days | 4.00 | 4.50 |
| 46 to 90 days | 5.25 | 5.75 |
| 91 to 179 days | 5.50 | 6.00 |
| 180 to 269 days | 6.25 | 6.75 |
| 270 days to | ||
| 1 year | 6.85 | 7.35 |
| Special 444 days | 7.25 | 7.75 |
| >1 year to | ||
| 2 to 5 years | 6.70-7.00 | 7.20-7.50 |
| 5 to 10 years | 6.70 | 7.20 |
Do remember that rates may fluctuate; thus, always check the official website for the most updated rates.
Popular FD Schemes Highlighted
Canara Bank differentiates itself through its various specialized schemes. The flagship Canara 444-day FD gives superior rates for maintaining limited investments for the mid-term.
The Kamadhenu deposit scheme goes for quarterly reinvestment of the interest to generate compounded income. The elderly population enjoys the benefits of the Ashraya scheme in terms of higher rates and more flexible payouts.
If you want to register for a tax saving scheme, the Canara Tax Saver FD is the right investment for you as it brings you 6.25%-6.75% interest for the 5-year tax lock in period along with a deduction of up to ₹1.5 lakh under Section 80C. However, there will be no premature withdrawal allowed in this case.
Key Benefits and Features
For unforeseen reasons, investors find it convenient to borrow up to 90% of the FD value as a loan. Nomination and auto-renewal are two features that add to the convenience factor. A 1% penalty is applicable on early withdrawal after a 7-day notice period, yet the interest rates are still good.
A minimum deposit of ₹1,000 can be done through branches, net banking, or through the mobile application.
Final Thoughts on Investing
In 2025, Canara Bank FDs will be a safe harbor for the investors amidst the ever-changing and turbulent market. If you are building an emergency fund, planning for your retirement, or dealing with tax payments, these Canara Bank FD schemes will provide you with the right solution along with great returns. Walk into a nearby bank for personalized assistance and select the desired rates today for your tomorrow’s tranquility.
