Fixed Deposit Interest Rates in 2020

Protect your money. Invest in a fixed deposit. Deposit not only helps you save money but also helps you earn interest on it.

Comparing bank FD interest rates helps the depositor to get a good return on investment over a fixed period.

Under the term deposit scheme, the depositor deposits money only once at the time of opening the account.

The rate of interest depends on the bank, the deposit amount and the tenure you choose.

The interest earned at the end of the tenure is calculated on the principal amount and the total amount is paid back to the depositor.

Term deposits can range from 7 days to 10 years.

In the next section, we have listed some banks that offer competitive interest rates.

Deposits:

Banks offer a comparatively low rate of interest on bulk deposits.

Fixed deposit interest rates are determined by changes in the monetary policy of the RBI such as repo rate, base rate, internal liquidity position of banks, loan demand, economic condition, etc.

The factors on which bank FD rates change are deposits. Deposit period and type of depositor.

Period of deposit:

Low-interest rates are often offered to depositors in small tenures with longer tenures.

For example, the highest FD interest rate offered by Bajaj Finserv at 1-year FD is 7.60%, while for 5-year FD, it offers 8.10%.

Depositor Type:

All banks in India offer comparatively high-interest rates on fixed deposits of senior citizens.

Currently, banks offered interest rates on FDs of senior citizens ranging from 3.50% - 9.75% depending on the deposits and the period of the deposit.