Fixed Deposit FD Interest Rates 2024: – Fixed deposits, commonly known as FDs, are a popular investment option for individuals looking to secure their money while earning a steady return. FD offered by banks and financial institutions, providing a fixed interest rate over a predetermined period. In this article, we will discuss about fixed deposits, FD interest rates, compare FD interest rates of banks. Before signing up for a Fixed Deposit (FD), you need to compare interest rates from different banks.
FD-Fixed Deposit
A fixed deposit is a financial arrangement where an individual invests a lump sum amount with a bank or financial institution for a fixed tenure, typically ranging from a few months to several years. The invested amount, known as the principal, accrues interest at a predetermined rate, which remains constant throughout the deposit’s term.
FD Interest Rates of Banks
The fixed deposit interest rates of different banks (private and government) are as follows:
| Name of Bank | Interest Rates (Amount Less Then 2 Crore) (Public Rates) |
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| 1 Year | 2 Years | 3 Years | 4-5 Years | 6-10 Years | |
| Axis Bank | 6% | 7.1% | 7.1% | 7.1% | 7% |
| HDFC Bank | 6% | 7% | 7% | 7% | 7% |
| SBI Bank | 6% | 6.8% | 7% | 6.75% | 6.5% |
| PNB Bank | 6.75% | 6.8% | 7% | 6.5% | 6.5% |
| ICICI Bank | 6% | 7.1% | 7% | 7% | 6.9% |
Benefits of Fixed Deposits
Stability and Security: -Fixed deposits are renowned for their stability and security. Unlike market-linked investments, the principal amount invested in an FD is not subject to market fluctuations.
Guaranteed Returns: -The interest rate is determined at the time of investment and remains unchanged throughout the deposit tenure.
Flexible Tenure Options: -Fixed deposits offer flexibility in choosing the tenure of the investment. Investors can opt for short-term deposits, typically ranging from a few months to a year, or long-term deposits that extend up to several years.
Ease of Operation: -Opening a fixed deposit is a straightforward process. Most banks and financial institutions offer online facilities, enabling investors to open and manage their fixed deposits with ease. The documentation requirements are minimal, making it a hassle-free investment option.
Loan Against Fixed Deposit: -In times of financial need, investors can avail themselves of loans against their fixed deposits. This feature allows individuals to access funds without prematurely breaking their deposit, providing liquidity while keeping the investment intact.