A fixed deposit (FD) is a financial instrument that offers a fixed income on deposit of money. This cash deposit is for a specific maturity period - ranging from few days to few years - also known as term of the fixed deposit. Major banks today, from the country's largest lender State Bank of India to its private sector peers ICICI Bank and HDFC Bank, pay an interest rate ranging from 3.5 per cent to 7.75 per cent on fixed deposits under Rs 1 crore for a period of up to five years. State-run SBI recently announced a hike in its fixed deposit interest rates in select maturities.
A fixed deposit (FD) is a financial instrument that offers a fixed income on deposit of money. This cash deposit is for a specific maturity period - ranging from few days to few years - also known as term of the fixed deposit. Major banks today, from the country's largest lender State Bank of India to its private sector peers ICICI Bank and HDFC Bank, pay an interest rate ranging from 3.5 per cent to 7.75 per cent on fixed deposits under Rs 1 crore for a period of up to five years. State-run SBI recently announced a hike in its fixed deposit interest rates in select maturities.
A fixed deposit (FD) is a financial instrument that offers a fixed income on deposit of money. This cash deposit is for a specific maturity period - ranging from few days to few years - also known as term of the fixed deposit. Major banks today, from the country's largest lender State Bank of India to its private sector peers ICICI Bank and HDFC Bank, pay an interest rate ranging from 3.5 per cent to 7.75 per cent on fixed deposits under Rs 1 crore for a period of up to five years. State-run SBI recently announced a hike in its fixed deposit interest rates in select maturities.
Here's a comparison of interest rates offered by SBI, HDFC Bank, ICICI Bank and Axis Bank on a fixed deposit below Rs 1 crore for a term of up to 5 years:
SBI
HDFC Bank
ICICI Bank
Axis Bank
Unlike market-linked instruments such as mutual funds, investment in bank FDs does not involve any equity-related risks and thus FDs are more suitable for investors with low-risk appetite, say financial planners.
Sign Up with Google
RECOMMENDED FOR YOU
POPULAR