Which Bank provide Highest Interest Rate for Fixed Deposit?
Fixed deposits are a popular form of investment in India because of the assured returns combined with guaranteed security of the capital amount. The interest rate on fixed deposits varies from bank to bank but depend on some common factors, such as the current global and national economic conditions, the type of FD, the tenure chosen, the age of the investor, etc. Senior citizens, those above 60 years of age, are often given a rate of interest which is 0.50% more than those below the age of 60. There are also Tax Saving FDs which have a lock-in period of 5 years and offer tax exemptions under Section 80C of the Income Tax Act. FDs for Non-Resident Indians also offer non-taxable interest income in India as well as fully repatriable interest and principal amount. FDs are now offered by Non-Banking Financial Companies (NBFCs) as well as small finance banks with high rates of interest.
Banks and NBFCs offering a higher rate of return on fixed deposit accounts:
These are the banks and NBFCs offering a higher rate of interest on domestic fixed deposits below Rs.2 crore across popular tenures:
Most banks and NBFCs provide interest in the range of 5.00% p.a. to 6.50% p.a.
The highest rate paid is by ESAF Small Finance Bank with an interest rate of 6.50% p.a. for a tenure of 1 year as well as Fincare Small Finance Bank for a tenure of 4 years.
The next highest interest rate is 6.45% p.a. for a tenure of 4 years and 5 years offered by Mahindra Finance under its Samruddhi Scheme.
An interest rate of 6.40% p.a. is the third highest interest rate and is offered by RBL Bank for a tenure of 4 years and 5 years.
An interest rate of 6.30% p.a. is the next highest interest rate offered by Mahindra Finance under its Samruddhi Scheme for a tenure of 3 years.
Some of the banks that offer 6.25% p.a. on fixed deposits are ESAF Small Finance Bank and Fincare Small Finance Bank (both for the 2-year tenure), RBL Bank for the 1-year, 2-year, and 3-year tenures, and Repco Bank for the 1-year and 2-year tenures.
An interest rate of 6.00% p.a. is offered by Fincare Small Finance Bank for a tenure of 1 year and 5 years.
An interest rate of 6.00% is also offered by KTDFC for tenures of 1 year, 2 years, and 3 years.
Repco Bank offers 6.00% p.a. for tenures of 3 years, 4 years, and 5 years.
Lakshmi Vilas Bank also offers 6.00% p.a. for a tenure of 2 years.
High interest rates of more than 9% are being offered on FDs by a number of small finance banks such as Utkarsh, ESAF and Fincare, among others.
ESAF Small Finance Bank pays interest at the rate of 9% on all FDs that are held for a period that ranges from 1 year to less than 2 years. Senior citizens will be eligible for higher rate of interest, which is 9.5% for the same time period. On the other hand, Utkarsh Small Finance Bank is offering an interest rate of 8% on all FDs for individuals and 8.5% for senior citizens.
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I am having a savings account with State Bank of India hence i have selected the Fixed deposit investment scheme with them. They are providing the interest rate of 8%. I have invested the money 2 years back and there is a lockin period of 72 months.
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Reviewed on Mar 02, 2020
Kotak Mahindra bank is a reliable bank and good management thats the reason i have invested the fixed deposit scheme in this bank. They have provided me a interest rate of 7% and i have kept for the period of 1 year and 1 month. Overall, I'm satisfied with their services.
I have purchased HDFC Fixed deposit which I am renewing for every 13 months. They have given me an interest rate of 7% and There is no processing fee and there is no locking period as well. If I'm withdrawing FD amount before locking period, they are charging some amount.
I went to the nearby branch for the Punjab National Bank for taking my fixed deposit as per my family members recommendation. I have invested the money of Rs. 50000 there was a lockin duration of 6 years when i withdraw the money, i got the money of Rs.1 lakhs. They have offered me a interest rate of 7%.
I was having my savings account from Post office hence i have invested my money into Post office Fixed deposit scheme. I have invested the money of Rs. 25000. There is a lockin period of 10 years. I have invested the money in the year of 2011. Post office service is proper. Overall, I'm happy about the services.
I have invested some money as a Fixed deposit in HDFC Bank and the interest rate is not that much great because they are giving interest as compared to others. I have invested the money of Rs. 3L and there is a locking period of 5 years. Its 7% interest rate. If they are increasing the interest rate, it would be fine. Since I do all my transactions with this bank, I have selected same for my FD as well.
I have chosen my fixed deposit scheme from State bank of India because I'm maintaining my salary account with them and they provided rate of interest is fine for me. I have invested the money of Rs. 2.75 lakhs. There is a locking period of 45 days. They are giving interest rate of 4.5%. Overall, I'm satisfied with their services.
I have been investing the money of Rs. 3 lakhs for the fixed deposit. I have selected Kotak mahindra bank for the FD because their net banking facility is very different when i compared to other. I can access everything regarding the account hence its easy to handle the transactions. I'm not sure about the interest rates. 7 months before, i have invested the money.
Its because of the competitive interest rates, i have selected the Fixed deposit in Kotak Mahindra bank. I have invested the fixed deposit 1.5 years ago and there is a lockin period of 5 years. They have invested the amount of Rs. 7.5 % and the employees are helpful in the branch.
I have a Fixed deposit in Axis bank. I have invested the money of Rs. 10000 for two FDs. There is a lockin duration of 1 year. They are giving a interest rate of 7%. Through net banking, i have activated this Fixed deposit. There is no tax benefits available. Axis bank service has been good. Overall, I'm happy about their services.
Since last 15 years, i have a account with Oriental bank of commerce thats the reason i have invested the money in fixed deposit with the same bank. I have invested the amount of Rs. 11 lakhs. They are giving the interest rate of 6.5%. There is no locking period but i have chosen the duration of 1.5 years. There is no additional charges deducted for this fixed deposit.
Interest rate is very low in Indian post office Fixed deposit scheme because they are providing only 8.5%. I have chosen this office because of the child benefits. I have invested the money of Rs. 1.5 years. Its 3 years lock in period. Overall, I'm satisfied with the service provided by post office employees.
I have invested the money in SBI for a fixed deposit and based on my wife recommendation i have chosen it. They are providing the interest rate of 7.25%. They have option to select the lock in period in that i have chosen 5 years. We had visited their branch and the response was good.
Its easy accessible and to redeem so that i have invested the money in Fixed Deposit with HDFC BANK. I have invested the money of Rs. 2.5 lakhs and they have provided me a interest rate of 7.5%. There is no locking period. I didn't got any additional charges till now.
I have paid the money of Rs. 4.5 lakhs as a fixed deposit in the Indian post office. For the safety purpose, i have chosen the post office account. They are offering me a interest rate of 7.9%. There is a lockin period of 5 years. If i withdraw the money in 1 year, they will reduce the interest rate of 2% and after 3 years, its 1%.
Interest rates are less in Central Bank of India so I had taken a fixed deposit. I have invested the money of Rs. 1 lakh in my wife's name. Branch is near from my place so I have chosen this bank. Yearly once, I get the money of Rs. 6,765 for the interest. There is a locking period of 1 year.
I am doing Fixed Deposit with ICICI BANK and its been around 5years. They haven't been paying good interest and its more or less same like other banks as I used to hold my salary account with ICICI, I have decided to be with one bank. There is no locking period and its flexible. They do give good support and the app is user friendly. Even deposit account can be opened through i-mobile or net banking itself.
I had a Fixed Deposit in State Bank of India, I have completed the tenure before 3months ago. I have no issues with the customer service. They are given me 7% interest rate for 2years. There is no profit and processing fee. I got an online access, where I can check the interest rate anytime on the YONO app or else SBI online.
I have invested some money through FD. My salary account is in SBI so i have a zero ATM charges and the limit is not actually set by SBI. They do have short term FDs which is pretty good. I have invested the money of Rs. 60000 and the interest rate is 10.01% for the tenure period of 16 months. There is no lockin period. There is no hassle to getting the money back.
I have invested the money in Dena bank through Fixed deposit and the growth is not that much good. They are not taking any hidden charges. Only because of the Government undertaken bank, i have selected them. They are providing a interest rate of 6% per annum. I have invested the money of Rs. 2 lakhs. There is a lockin period of 1 year.