HDFC Bank - Short-Term FD

HDFC Bank is the thirteenth largest bank in the world by market capitalisation (as of July 13, 2025). Since starting operations in January 1995, the bank has built a strong reputation, particularly among fixed-income investors. It is now known as a highly safe and stable financial institution. 

If you are looking to invest your surplus funds, HDFC Bank allows you to book short-term fixed deposits with a tenure of 1 year or less. In this article, let’s check out the latest HDFC Bank short-term FD interest rates 2025 and see some associated premature withdrawal rules. 

What are the Latest HDFC Bank Short-Term FD Interest Rates 2025?

HDFC Bank offers different short-term FD rates based on the investment amount. For deposits below ₹3 crore, the highest rate is 5.75% (6.25% for senior citizens). Whereas, for deposits between ₹3 crore and 5 crore, it goes up to 6.00% (6.50% for senior citizens). 

All the HDFC bank short-term FDs are insured by DICGC (Deposit Insurance and Credit Guarantee Corporation) up to ₹5 lakhs per depositor. Before committing funds, check out the latest HDFC Bank short-term FD rates below:

A) HDFC Bank Short-Term FD Rates For Less Than ₹3 crores

Note: The above interest rates are applicable as of September 27, 2025, for Domestic/ NRO/ NRE Investors. The rates are subject to change. Please check the latest rate card before investing.

Some Key Points

• Senior Citizen rates do not apply to NRIs. 
• Minimum tenor for NRE Deposit is 1 year.
• The highest HDFC Bank short-term FD rate is 5.75% (6.25% for senior citizens).
• This rate is offered for a tenure of 9 months 1 day to less than 1 year.
• The lowest return is 2.75% (3.25% for senior citizens) for 7 to 29-day deposits.
• Senior citizens enjoy a consistent 0.50% higher rate across all tenor buckets (Domestic/NRO only).

B) HDFC Bank Short-Term FD Rates For More Than ₹3 crores and Less Than ₹5 crores

Note: The above interest rates are applicable as of September 27, 2025, for Domestic/ NRO/ NRE Investors. The rates are subject to change. Please check the latest rate card before investing.

Some Key Points

• The highest HDFC bank short-term FD rate is available at 6.00% (6.50% for senior citizens) for 9 months 1 day to less than 1 year.
• Whereas, the lowest return is at 4.00% (4.50% for senior citizens) for 7 to 29-day deposits.
• Upon analysis, you can observe a considerable jump in rates after 30 days, where yields rise from 4.00% to 4.75%.

What is the Pre-Mature Withdrawal Penalty on Short-Term FDs?

If you close your HDFC Bank short-term FD before maturity (premature withdrawal), you will not get the original contracted interest rate. Instead, the bank will deduct 1% from your “applicable interest rate”, which is the rate available for the number of days you actually kept your money. 

For example, 

• Say you booked a 9-month FD at 5.75%
• You break it after 3 months. 
• Now, the bank will check the 3-month FD rate that was valid on the date you opened your FD.
• Next, from that applicable rate, they will deduct 1% as a penalty.
• Let’s assume the 3-month FD rate was 4.25%.
• So, you’ll actually earn 3.25% (4.25% – 1%).

Need More Safe Options? Invest Your Surplus With GoldenPi in 2025!

HDFC is India’s largest bank (in terms of market capitalisation) operating in the private sector. As of June 30, 2025, the Bank’s distribution network stood at 9,499 branches and 21,251 ATMs across 4,153 cities and towns. About 51% of its branches are located in semi-urban and rural areas. 

However, since it is a systemically important bank, HDFC may offer low short-term FD returns. If your goal is to earn more competitive returns, you can explore short-term FDs from Small Finance Banks and NBFCs. 

Leading platforms like GoldenPi list such options. The booking process is also 100% digital, and you can invest in just a few minutes. Check out some good short-term FD schemes from here.