Fixed Deposits (FDS) have become a safe and attractive option of investment these days. Many banks are now offering interest rates of up to 9%, which is very beneficial for investors. Especially for senior citizens who want stable and safe return, this can be a good option. In this article, we will give information about banks that are giving interest rates of up to 9% and how you can increase your investment.
Before investing in fixed deposits, it is important to know which banks are giving the best rates and are they right for you. Small Finance Banks such as Northeast Small Finance Bank and Unity Small Finance Bank have recently announced an interest rate of up to 9%, which is very attractive for investors. Let us know in detail which banks are offering and how you can invest in them.
Fixed deposit interest rates in India
Before investing in fixed deposits, it is important to know which banks are giving the best rates. In the table below, we have given details of FD Interest Rates of some major banks:
| Bank name | Interest rate (%) | Best tenure |
| Northeast Small Finance Bank | 9% | 18 months 1 day to 36 months |
| Unity short finance bank | 9% (general), 9.5% (senior citizen) | 1001 days |
| Sunrise small finance bank | 8.60% | Five years |
| Utkarsh small finance bank | 8.50% | 2 to 3 years, 1500 days |
| Equitas short finance bank | 8.25% | 888 days |
| Mass small finance bank | 8.25% | 1 to 3 years |
| AU short finance bank | 8.10% | 18 months |
What are Small Finance Banks?
Small Finance Banks are a special type of banks created by RBI to promote financial inclusion in India. Their main objective is to provide basic banking services to small and marginal farmers, small business units, micro and small scale industries and unorganized sectors.
FD for senior citizens
Fixed Deposits for senior citizens can be a secure and source of stable returns. Many banks offer senior citizens higher than ordinary citizens. For example, Unity Small Finance Bank is giving an interest rate of up to 9.5% to senior citizens, which is very attractive.
How to invest?
To invest in Fixed Deposit, you have to follow the following steps:
- Choose a bank: First, you have to decide which bank you want to invest. For this you can compare interest rate, tenure and other conditions.
- Collect documents: You have to collect your identity card, address proof and other necessary documents.
- Fill the form: Fill the bank form and give the necessary information.
- Submit money: deposit money for tenure and interest rate as per your choice.
- Get FD Certificate: After submitting, you will get a FD certificate, which will be proof of your investment.
Post Office FD
Post Office FD is also a safe investment option, which comes with the government’s guarantee. Interest rates here are between 6.9% to 7.5%, which is for a period of 1 to 5 years. By investing in post office FD, you also get tax benefit under Section 80C, but it applies only for a period of 5 years.
Post Office FD features
- Minimum deposit: ₹ 1,000
- Interest Rate: 6.9% to 7.5% per year
- Tenure: 1, 2, 3 and 5 years
- Enrollment facility: available
- Premature withdrawal: permission after 6 months
Benefits of investment in fd
There are many advantages to invest in fixed deposits:
- Safe investment: FDS is insured by DICGC, which provides security of up to ₹ 5 lakh.
- Fixed returns: You get a fixed interest rate, which is not affected by market volatility.
- Liquidity: You can withdraw your money if needed, although it may take some penalty.
- Tax Benefit: Tax benefits are also available on some FDS, especially in Post Office FD.
- Diversity: You can divide your investment into various banks and tenure.
conclusion
Fixed Deposits can be a safe and stable return source, especially when you can get an interest rate of up to 9%. Small Finance Banks such as Northeast Small Finance Bank and Unity Small Finance Bank are currently giving the best rates. Before investing, make sure that you understand the stability and rules of the bank.
Disclaimer: This article is for general information and it would be appropriate to consult a personal financial advisor for any investment decision. Be sure to check the bank’s current rates and rules before investing in fixed deposits.
