Slice Review: Daily Interest, 8.5% FDs

If you’ve been googling “what is Slice app”, you’re not alone. Slice, once known for its unconventional credit card offerings, has now reinvented itself as Slice Bank (technically Slice Small Finance Bank). It’s making waves because of its high-interest savings account and fixed deposit (FD) options, numbers that outperform traditional banks.

But the big questions floating around are: Is Slice app safe? Is Slice app safe to use long-term? Or is this part of the usual fintech buzz?

In this Slice review, I’ll walk you through what it offers, its benefits, what users are actually saying about, and whether you should use it to earn daily interest.

What Is Slice App?

Slice started as a neobank targeting younger users with rewards. In 2023, it merged with North East Small Finance Bank (NESFB) and rebranded as Slice Small Finance Bank. Now, the Slice app offers:

1. Savings Account

Zero balance account with daily interest at 100% of the RBI repo rate (currently ~5.5% annually).

Cashback on UPI transactions

Use UPI directly from Slice and earn “fire” cashback rewards (₹0–₹20 per transaction).

3. Slice credit card

Slice is also teasing a UPI-linked credit card soon, providing instant cashback (up to 3%) on transactions. Plus, an option to convert bills into no-cost EMIs.

4. Attractive FD rates

Slice Fixed Deposit (FD) offers attractive interest rates, up to 8.5% p.a. for 1.5 years, backed by DICGC insurance up to ₹5 lakh. It’s a safe, short-term investment option for parking funds while earning higher returns than traditional banks.

In short, Slice is positioning itself as an alternative that rewards users more than traditional banks.

What Users Say About Slice

1. Daily Interest Payouts: Interest is credited every single day (often around 1 AM). You will see your statement gradually fill up with small daily deposits.
2. Cashback on UPI spend: Regular users report earning over ₹100/month in extra cashback, on top of savings interest.
3. No Lock-In: Unlike traditional FDs, savings money can be withdrawn anytime.
4. Quick Setup: Opening an account takes just 3–5 minutes, no paperwork, no minimum balance.
5. Attractive FD Rates: That 8.5% FD is a major draw.

For short-term money parking, Slice can be a smarter option compared to leaving cash idle in a low-yield savings account.

What Users Should Be Aware Of

Of course, no Slice review is complete without the cons. Here’s what users complained about:

1. FD Rate Confusion
2. Limited Acceptance
3. Too-Good-To-Last Risk

Slice FD offers very high interest for certain tenures, like 1.5 years, but the rates are unusually low for shorter durations. Plus, it is still a new Small Finance Bank, so some investment platforms don’t accept it for payments yet.

Several users reported their Slice account being frozen due to “suspicious activity.”

Is Slice App Safe to Use?

This is the million-rupee question: is Slice app safe? Let’s take a look at the details:

1. RBI-Regulated: Yes, Slice (via NESFB) is an RBI-regulated Small Finance Bank. Deposits up to ₹5 lakh are insured by DICGC, just like HDFC, SBI, or ICICI.
2. Risk Beyond ₹5 Lakh: Don’t keep more than ₹5 lakh in one SFB. If a bank fails, you’ll only get back that insured amount. Big banks are more likely to be bailed out than smaller ones.

New-age banks often push aggressive features that outpace their backend. That’s where risks like account freezes show up. Slice is still very young in the banking space. Trust is something that builds over decades, not months.

So, within the ₹5 lakh insured limit, Slice app is safe to use, but it’s not risk-free if you go beyond that or rely on it as your only salary account.

Some alternatives are liquid funds, which offer better returns than the typical 5.5% savings interest. Otherwise, you can diversify fixed deposits, making investments across multiple small finance banks.

Final Slice Review: Should You Use It?

Slice is rewarding. And If you’re curious and want to try, treat it as a side account for parking small to medium amounts. Use it to earn on idle money, or test out those 9% FDs (within insurance limits). In short, Slice app is safe to use in moderation, but not yet reliable enough to replace your main bank account.

What about you? Have you tried Slice’s daily interest feature yet, or are you sticking with traditional banks for peace of mind?

FAQ

1. What is Slice app?

Slice is a fintech platform that has now evolved into Slice Small Finance Bank after merging with North East Small Finance Bank. Through the Slice app, you can open a zero-balance savings account, earn daily interest linked to the RBI repo rate, book high-interest FDs (like 9% for 1.5 years), and make UPI payments with cashback rewards.

2. Is Slice app safe?

Yes, Slice operates as a Small Finance Bank regulated by the RBI. Deposits up to ₹5 lakh are insured by DICGC, which makes it as safe as other banks within that limit. However, like with any small finance bank, it’s better not to keep large amounts beyond the insured coverage.

3. Is Slice app safe to use long-term?

Slice app is safe to use in moderation, especially for short-term parking of funds or smaller amounts. But since it’s a relatively new player in banking, relying on it as your only salary or primary account may carry more risk compared to traditional banks.

4. How does Slice FD work?

Slice offers fixed deposits through its partnership with North East Small Finance Bank. You can book an FD directly in the app, with interest rates going up to 9% p.a. for 1.5 years. The FD is backed by DICGC insurance (up to ₹5 lakh), making it a safe option within that limit.