New Delhi, May 5 -- Inflation is expected to rise in the coming months due to the ongoing geopolitical problems and elevated oil and gas prices. Against this backdrop, fixed deposits remain a preferred low-risk investment for senior citizens in May 2026.

Public sector banks are offering stable interest rates of up to 7.10% for senior citizens. These returns provide a cushion against inflation and ensure a predictable income amid market volatility.

Note: Data as on respective banks' website on 2 May 2026; For deposits under Rs.3 crore; Compiled by BankBazaar.com

Interest rates across prominent PSU banks show minimal variation, reflecting a steady environment of returns amid global turmoil in oil and energy prices. The benchmark Nifty 50...