Best Fixed Deposit Rates
Fixed deposit (FD) is a financial facility offered by banks which offers higher rate of interest to the investor on savings account for a pre-agreed maturity date. Fixed deposit is considered to be a very safe investment option.It has a lock in period during which a deposited amount cannot be withdrawn as compared to a recurring deposit or demand deposit and is evolved around a fixed term/duration. Interest rates offered by the banks vary from year to year driven by the market, rate range being around 4 to 11 percent. Banks have started offering the flexible payment options now which come under a denomination of 7, 15, 45 days, 1.5 years and in some cases upto 10 years.
What is fixed deposit scheme?
Fixed deposit (FD) is a savings option which lets customers earn interest on their money parked at the bank and the bank offers interest in periodic level on principal amount. Banks offer higher rates on interest on the savings account as the money is locked in for certain period which cannot be withdrawn.There is a penalty for premature withdrawl.
Am I eligible to invest in fixed deposit?
This Fixed Deposit scheme is open for resident individual. One can avail this facility irrespective of his/her age. Banks recognize some institutions such as partnership firm, public or private limited company and hindu undivided family.
How would I get interest on the deposited amount?
Interest depends on principal amount deposited under the scheme. Customer can expect to reap interest on monthly or quarterly basis.
Do we have capping on the minimum or maximum time period?
Yes. One can deposit the amount for as less as 7 days and for as long as 10 years.
Is there any penalty for early withdrawal of deposited amount?
Yes. In view of early withdrawal, one can expect to earn 0.5 to 1% lower interest on the deposited amount.
How the risk is covered on fixed deposits?
In view of some exigency and unpredicted situation, the Fixed Deposit (FD) amount can be dispersed to the nominee on maturity. As a protocol, risk can differ depending on the type of amount.
Quick reference of fixed deposit offerings
The outlined grid gives you a perspective rates offered by various banks.The idea is to provide a quick comparison of how things prevail in the current market ecosystem.Please note that these rates are chaged by banks as per market situation.
|Bank name||Duration of fixed deposit||ROI|
|Bandhan Bank||1 year to less than 2 years||8.25|
|IDFC Bank||366 days||8.25|
|Bandhan Bank||2 years to less than 3 years||8|
|IDFC Bank||401 to 540 days||8|
|IDFC Bank||181-365 Days Or 367-400 Days Or 541-731 Days||7.75|
|Bandhan Bank||3 years to less than 5 years||7.75|
|DCB Bank||36 months to 120 months||7.7|
|DCB Bank||24 months to less than 36 months||7.65|
|City Union Bank||181 days to 1 year||7.6|
|DCB Bank||18 months to less than 24 months||7.6|
|Lakshmi Vilas Bank||1 year to Less than 5 Years||7.5|
|Karur Vysya Bank||91 days to 180 days||7.5|
|IDFC Bank||732 days to 10 years||7.5|
|Bandhan Bank||5 years to less than 10 years||7.5|
Apart from the rates mentioned above, you would notice that the some banks have special schemes for senior citizens and may offer 0.25% to 0.50% more to them. Point to be noted; there is a possibility that the rates sighted may not show the best market rates and many banks have started offering higher rates when the deposit is 1 crore or more.