FD Interest Rate: Data from the Reserve Bank of India‘s financial year 2022 indicates that investors prefer to keep their money in fixed deposits at reputable private and public sector banks. FD investment in top commercial and public sector banks accounts for 76% of total bank deposits, according to the data. This is true even though smaller finance banks and private banks give greater interest rates to attract fresh deposits.
The Financial Security of Fixed Deposits
Regular interest income and liquidity are provided by fixed deposits. FDs are helpful in developing an emergency fund because of their promise of abundant liquidity. The top 11 public sector banks are listed below, providing the best interest rates on fixed-rate notes (FDs) with a three-year term. The data has been compiled by Bankbazaar.
How Banks Rank
The interest rate of the top 20 banks (based on their total term deposit position as reported to the RBI as of March 31, 2022) is the primary criterion for determining these banks. Banks whose websites did not have data have not been taken into consideration. The statistic includes non-senior people’ three-year deposits for sums under Rs. one crore. The value is determined using interest compounding on a quarterly basis. Depending on the kind of term deposit account, there may be different minimum investment amounts.
Bank of Baroda Leads with 7.25% Interest on Three-Year Fixed Deposits, Offering Substantial Growth
Interest rates on three-year fixed-rate deposits (FDs) are up to 7.25 percent at Bank of Baroda. This bank has the best interest rates out of all the public sector banks. In three years, an investment of Rs. 1 lakh will increase to Rs. 1.24 lakh. For three-year fixed-rate deposits, Punjab National Bank offers interest rates as high as 7%. In three years, an investment of Rs. 1 lakh will increase to Rs. 1.23 lakh.
Competitive Interest Rates on Three-Year FDs
For three-year FDs, Canara Bank provides interest rates as high as 6.8%. In three years, an investment of Rs. 1 lakh will increase to Rs. 1.22 lakh. Interest rates on three-year fixed-rate deposits (FDs) can reach 6.5 percent at State Bank of India (SBI), Union Bank of India, Bank of India, and Indian Overseas Bank. In three years, an investment of Rs. 1 lakh will increase to Rs. 1.21 lakh. Three-year FDs from UCO Bank have interest rates as high as 6.3 percent. In three years, an investment of Rs. 1 lakh will increase to Rs. 1.21 lakh.
Solid Returns on Three-Year FDs
For three-year FDs, Indian Bank provides interest rates as high as 6.25 percent. In three years, an investment of Rs. 1 lakh will increase to Rs. 1.20 lakh. Three-year fixed-rate deposits (FDs) from Bank of Maharashtra and Punjab & Sind Bank can earn interest rates as high as 6%. In three years, an investment of Rs. 1 lakh will increase to Rs. 1.20 lakh. Up to Rs 5 lakh in fixed deposit investments are guaranteed by the RBI subsidiary Deposit Insurance and Credit Guarantee Corporation (DICGC).
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