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What is the maximum amount I can put in a fixed deposit?

By Finserv MARKETS - Aug 1,2019
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What is the maximum amount I can put in a fixed deposit


Fixed deposits are the first financial instrument that comes to mind when people think of parking their surplus money or savings somewhere safe to earn returns on it, without exposing the principal amount to any risk. They have been the go-to investment product for countless Indians since ages. In fact, this trend continues till date. According to a SEBI-commissioned survey by Nielsen, more than 95% Indian households prefer to park their money in bank deposits, while less than 10% opt for investing in mutual funds or stocks. There is a clear and heavy preference for fixed deposits, and with good reason.

Fixed deposits have also metamorphosed into highly flexible financial product. Today, these are even available online. You do not even need to make visits to any branch or go through a lengthy documentation process. With Finserv MARKETS, you can apply for a fixed deposit, submit documents and keep track of your fixed deposit account online. Apart from this seamlessness in the process and ready information access, fixed deposits offer a slew of benefits. Here are the reasons you’d consider to invest in fixed deposits:

  • Fixed returns: The most attractive point in an FD is that it offers guaranteed returns. This is why a flurry of conservative investors are drawn to this financial instrument. When you invest in fixed deposits, you can also be sure of a steady rate of interest throughout the life of the FD. The rate offered to you when you open an FD remains constant throughout your tenure. This means that even if the interest rates fall in the market, your FD won’t be affected. It lets you secure your principal amount completely from the fluctuations of the market.
  • Hassle-free investment: You can open a fixed deposit account with minimal formalities – if you buy through Finserv MARKETS, you also get the flexibility of payment option through electronic or physical modes. Once you open it, you don’t have to worry about it till it matures. You can renew your FD easily online. If you don’t plan to renew your FD, your maturity amount will be directly credited into your bank account.
  • Reap the benefits of compounding: This feature is available when you choose cumulative fixed deposits. In case of cumulative FDs, the interest is compounded every quarter or annually, and paid at the time of maturity.

Thus, you will benefit from compound interest, which means that you will earn interest not just on the principal amount but also on the interest you have already previously earned and accumulated.

  • Regular income: If you wish to get a regular income, you can opt for monthly or quarterly interest pay-outs. This is applicable in the case of non-cumulative FDs. In a Non-Cumulative FD, interest is paid out periodically, as per the investor’s choice. The regular interest payouts can help you meet your daily expenses.
  • Flexibility: FDs are the rigid instruments you believe them to be. For one, you can break an FD if you urgently require these funds – there will likely be a charge and you may receive lower interest as a penalty, but it is still comforting to know that you can always draw into the principal amount if the need arises. There was a reason behind parking your funds in liquid funds after all, wasn’t there? If you like, you can also get a loan against your fixed deposit. You can invest for a tenor of 12 to 60 months as per your goals and liquidity needs.

This flexibility also extends to the amounts. Many of you wonder about the minimum and maximum amounts you can invest in fixed deposits. With Finserv MARKETS, the minimum deposit size is Rs.25,000. This means that you can invest in fixed deposits if you have this amount. On the other end of the range, there is no limit on the maximum amount you can invest.

So, how will you decide? Remember, first of all, the factors discussed above. For example, if you are looking at fixed deposits as regular sources of income through the interest, then higher amounts will yield higher interest. You may want to invest a large sum in FDs in that case. However, this interest is liable to taxation. So you may want to diversify your portfolio and save tax by investing in tax-saving instruments, including the tax-saving FDs.

Finally, for financial institutions which offer you online access to your fixed deposit account along with easy application and payment procedures as in the case of Finserv MARKETS.

Finserv MARKETS, from the house of Bajaj Finserv, is an exclusive online supermarket for all your personal and financial needs. We understand that every individual is different and thus when you plan to achieve your life goals or shop for the gadget of your dreams, we believe in helping you Make it Happen in a few simple clicks. Simple and fast loan application processes, seamless, hassle-free claim-settlements, no cost EMIs, 4 hours product delivery and numerous other benefits. Loans, Insurance, Investment and an exclusive EMI store, all under one roof – anytime, anywhere!


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Bajaj Finserv Direct Limited ("BFDL"), erstwhile Bajaj Financial Holdings Limited is a registered corporate agent of Bajaj Allianz Life Insurance Company Limited and Bajaj Allianz General Insurance Company Limited under the IRDAI composite registration number CA0551 valid till 10-Apr-2021. BFDL also renders services to Bajaj Finance Limited (‘BFL’) and Bajaj Housing Finance Limited (‘BHFL’) (referred hereinafter as ‘Lending Partner’) in sourcing of customers, providing preliminary credit support activities, fulfilment services and post-acquisition customer services related to lending business. Registered Office: Bajaj Auto Limited Complex, Mumbai – Pune Road, Akurdi, Pune – 411 035 CIN: U65923PN2014PLC150522