Indian Bank deposits with special 555-day and 777-day maturities will earn 15 basis points more from October 23, 2026. The state-owned lender is raising the public rate on its Ind Grow scheme to 6.80% a year and on Ind Prosper to 6.75%, with the revised rates applying to fresh deposits and renewals of maturing deposits.
Key Takeaways
- The increase is limited to two special maturities, rather than the full retail deposit schedule.
- Existing deposits do not automatically receive the higher rates before renewal.
- Managing Director Binod Kumar said the bank lacked surplus liquidity despite raising foreign-currency deposits.
Table of Contents
- Indian Bank deposits: What changes on October 23
- Who receives the higher rates
- Bank-specific funding needs differ from system liquidity
- Conclusion
Indian Bank deposits: What changes on October 23
The 555-day Ind Grow rate rises from 6.65% to 6.80%, while the 777-day Ind Prosper rate increases from 6.60% to 6.75%. Each increase amounts to 0.15 percentage points.
Indian Bank’s special-term deposit rate schedule lists both products as available for investments starting at Rs 1,000 and below Rs 3 crore. Both offer fixed-deposit and money-multiplier deposit options, with early withdrawal subject to the bank’s terms.
The change is selective. The published schedule leaves the 300-day Ind Supreme 2.0 rate at 6.20% and the 500-day Ind Green rate at 6.40%. The standard one-year retail term-deposit rate also remains at 6.10%.
| Item | Details |
|---|---|
| Ind Grow: senior citizens | 555 days; 7.30% a year from October 23, 2026. |
| Ind Grow: super senior citizens | 555 days; 7.55% a year from October 23, 2026. |
| Ind Prosper: senior citizens | 777 days; 7.25% a year from October 23, 2026. |
| Ind Prosper: super senior citizens | 777 days; 7.50% a year from October 23, 2026. |
Who receives the higher rates
The revised rates apply to new deposits and the renewal of deposits reaching maturity, rather than repricing all outstanding deposits. Customers with money already locked into either scheme therefore should not treat the announcement as an immediate increase in their contracted return.
The bank publishes separate rates for senior citizens and super senior citizens. For these two products, the senior-citizen rate is 0.50 percentage points above the public rate, while the super-senior rate is 0.75 percentage points higher. The bank defines super senior citizens as those aged 80 or above.
Bank-specific funding needs differ from system liquidity
Managing Director Binod Kumar said Indian Bank did not have surplus liquidity after shedding Rs 10,000 crore of bulk deposits and slowing term-deposit mobilisation during the second quarter. It also raised $2.3 billion, or about Rs 21,000 crore, in foreign currency non-resident bank deposits through a regulatory window.
That position contrasted with surplus funds in the broader interbank market following sector-wide FCNR-B mobilisation of $133 billion, which prompted Reserve Bank of India liquidity-draining operations. System-wide surplus liquidity therefore did not mean Indian Bank itself had excess funding.
Conclusion
The next confirmed step is the October 23, 2026 implementation of the higher rates. For holders of Indian Bank deposits, the key distinction is whether money is being newly placed or renewed, since existing contracts do not automatically receive the increase.
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