The bank now offers a maximum interest rate of 6.6% per annum on FDs with principal amount less than Rs 3 crore for general citizens
SBI is reintroducing its 444-day long special deposit plan 'Amrit Vrishti' but with lower interest rates
Analysts at Kotak said that this move comes amidst concerns around sluggish growth of deposits compared to loans, prompting lenders to take proactive measures to manage their liabilities effectively
Section 80C brings down your taxable income by allowing you to invest in a basket of instruments. Tax-saving bank fixed deposits is a popular instrument for those in the lower tax brackets and also who are closer to their retirement, for capital protection. It's important also to look at your financial goals.
Utkarsh Small Finance Bank offers the highest interest rates on FDs, at 8.5 percent p.a. for a two to three year tenure. Among NBFCs, Bajaj Finance offers interest rates of 8.35 percent p.a. for a tenure of three years and eight months. Senior citizens earn up to 0.25-0.6 percent more on deposits.
FD investment in leading public sector banks and private banks comprises 76 percent of total bank deposits. Leading public sector banks such as Bank of Baroda, SBI, Union bank of India, among others are offering the best interest rates on three-year FDs.
Risk-averse investors and those in lower tax brackets can look at tax-saving fixed deposits.
FD rates: The interest rates on FDs offered by leading public sector banks SBI, Union Bank of India, etc. are not as competitive as rates offered by small finance banks and private banks.
Banks big and small are trying to attract investors by offering higher interest rates — as high as 7.7 percent — but for a limited period only.
Several banks have sharply hiked interest rates on fixed deposits across tenures after the Reserve Bank of India raised repo rate by 90 basis points in May-June this year.
Keep only as much as you need in three-five years in fixed deposits but secure your financial future through calculated risks of wealth creation
Hike in deposit rates by HDFC, Bajaj Finance raises expectations and sends signals that the rate cycle may finally take a turn amid inflationary pressure
Harsh Roongta of apna-paisa.com says if one is looking at investments for the short-term then fixed deposits (FDs) are best investments, especially, if the investor is not paying taxes.