Fixed deposits: 4 FDs you must invest in to beat low interest rates

Over the last few quarters interest rates have almost crumbled. Now, many public - as well as - private banks are offering interest rates around that 5.5 percent, which are very low, as compared to a few years back.

But, most of the fixed deposits still offer interest rates which are high when compared to banks.

Also read: Contact-less fixed deposit: These banks offer special FD schemes

Here are fixed deposits with best interest rates:

- Mahindra and Mahindra Financial Services (MMFSL) Fixed Deposits: An interest rate offered by MMFSL are 7.20 percent on a one-year deposit, 7.30 percent on a 18-month deposits, 7.60 percent on a 3 year deposits, 7.70 percent on a 4 year deposit and 7.80 percent on a 5 year deposit.

What banks are offering across the country, this is good 1.5 percent to 2 percent more. The deposits are rated as AAA, which means the deposits have a high level of safety.

- Bajaj Finance: An interest rate of 6.90 percent for 1 year, 2 year deposit fetches an interest rate of 7 percent, while 3, 4 and 5 years deposits fetches an interest rate of 7.10 percent offered by Bajaj Finance. The deposits are assumed to be safe and secure.

The deposits have been rated as AAA, which means it is secure and safe. Investors, looking for a short duration of 1-2 years could opt for these deposits.

- HDFC: It is a promoter of HDFC Bank and, hence, it is one of oldest housing finance companies. 6.36 percent interest rates are offered on one and two years of deposit period while 6.46 percent are offered on three-, four- and five-year deposit periods.

The interest of HDFC is not the best as compared to others mentioned above, though, it is still better than bank fixed deposits, where interest rates over the last few months have declined dramatically.