New Delhi, Business Desk. Bank fixed deposits are a popular tool for investors seeking a guaranteed interest rate. According to experts, fixed deposits in the short term may be better than debt funds. There has been little sadness in the short-term bond markets due to frequent rate cuts and various cash measures by the Reserve Bank of India (RBI). Rate cuts happen quickly in the bond markets, while banks offer the benefit of rate cuts to their retail customers too late.
Before choosing an FD, you should compare the interest rates on the offer. In this news, know about the banks which give the highest FD rate for deposits up to 1 crore.
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Rate of interest on amount up to 1 crore
RBL Bank is paying 7.2 percent interest on FDs ranging from 1 to 2 years. Paying interest at the rate of 7.25% for 2 to 3 years and at the rate of 7% to 7.5% at 3 to 5 years. Similarly, Yes Bank is paying 6.75% for 1 to 2 years, 6.75% to 7% for 2 to 3 years. IndusInd Bank is paying 7 percent interest rate for 1 to 2 years, 6.75 percent for 3 to 5 years. Bandhan Bank is offering interest rates of 6.15-6.25 for 1 to 2 years and 6.1 to 3 to 5 years. Lakshmi Vilas Bank is paying 6.25 to 6.75 percent for 1 to 2 years and 6.1 percent for 3 to 5 years.
How safe is investment in small finance banks
Small banks typically pay high interest to attract funds from investors. Now if you talk about how safe investing is in small finance banks, then let us tell you that RBI guarantees to return the amount up to Rs 5 lakh deposited in banks. This means that if you deposit up to five lakh rupees in a bank, then your investment is completely safe.
