Maximise your returns by investing in an FD at competitive interest rates of up to 9.40% p.a on Bajaj Markets. Choose from flexible tenors of up to 120 months and grow your savings in a
A Fixed Deposit is an investment plan that helps you earn interest returns on idle savings. Your returns are predetermined and not affected by market fluctuations. Thus, it could help you diversify your portfolio.
You can invest in an FD for short-term or long-term goals. With the aid of our FD calculator , you could estimate the maturity amount in advance. Apply for an FD online on Bajaj Markets and earn guaranteed returns at attractive interest rates of up to 9.40% p.a.
An FD investment requires you to deposit a lump sum amount for a specific timeline with a bank/NBFC. The tenor can vary between 7 days and 10 years, depending on the plan that you invest in.
Your earnings depend on three crucial parameters:
Deposit amount
Chosen tenor
Applicable interest rate
You can book a fixed deposit with a bank or a Non-banking Financial Institution (NBFC). Before investing, compare the interest rates offered by them. Then, the FD issuer will provide a fixed deposit receipt online or offline.
This FD receipt contains the following particulars:
Name and address
Deposit amount
FD account number
Maturity amount and date
Interest rate
Nominee details
Related terms and conditions
Bank declaration
Issuers decide the FD interest rate based on the repo rate and internal policies. Your deposit amount and tenor also impact the rate you get. Usually, the longer you stay invested, the higher the rate and the better your earnings. Look out for special tenors offered by issuers. These may also offer higher FD interest rates.
While your FD remains locked for the duration, you could liquidate it before the tenor ends. But issuers levy a small penalty when you close your fixed deposit account before it matures.
A FD calculator is an online tool that lets you calculate the interest earnings and maturity value of an FD. All you need to do is enter the following parameters:
Deposit amount
Tenor or FD duration
Applicable FD rate
This allows you to compare interest rates offered by various financial institutions, helping you select the right investment terms. In addition, the tool saves you time and effort that would otherwise be spent on intricate calculations.
Comparing interest rates is essential before choosing FD plans. See the table below to check the interest rates from banks/NBFCs/HFCs.
FD Issuers |
Maximum Interest Rate (p.a.) |
Maximum Tenor (in months) |
Minimum Deposit Amount |
Bajaj Finance |
8.65% |
60 |
₹15,000 |
Shriram Finance |
9.40% |
60 |
₹5,000 |
Mahindra Finance |
8.35% |
60 |
₹5,000 |
PNB Housing Finance Limited |
8.05% |
120 |
₹10,000 |
Ujjivan Small Finance Bank |
9.00% |
120 |
₹1,000 |
YES Bank |
8.25% |
120 |
₹10,000 |
AU Small Finance Bank |
8.50% |
120 |
₹1,000 |
Disclaimer: The particulars mentioned are subject to change at the discretion of the issuer. These interest rates are valid as of 29th May 2024.
Here's a table displaying some of the bank/NBFC FD interest rates offered on deposits less than ₹2 Crores.
FD Issuer |
Maximum Interest Rate for Non-senior Citizens (p.a.) |
Maximum Interest Rate for Senior Citizens (p.a.) |
Tenor |
Minimum Deposit |
Axis Bank |
7.20% |
7.85% |
17 Months – 18 Months |
₹5,000 |
ICICI Bank |
7.20% |
7.75% |
15 Months – 18 Months |
₹10,000 |
SBI |
7.00% |
7.50% |
24 Months – 36 Months |
₹1,000 |
Kotak Mahindra Bank |
7.40% |
7.90% |
390 days |
₹5,000 |
IDFC FIRST Bank |
7.90% |
8.40% |
500 days |
₹10,000 |
HDFC Bank |
7.25% |
7.75% |
18 Months – 21 Months |
₹5,000 |
Union Bank of India |
7.25% |
7.75% |
399 days |
₹1,000 |
IndusInd Bank |
7.99% |
8.25% |
12 Months – 24 Months |
₹10,000 |
Muthoot Capital |
8.38% |
8.88% |
60 Months |
₹1,000 |
Disclaimer: The aforementioned particulars are subject to change at the discretion of the issuer. Kindly refer to the issuer’s website before booking an FD. These financial institutions are not partners of Bajaj Markets.
While comparing FDs based on rates and tenor options, learn the different FD types. Here is a brief overview of a few types you can invest in:
These FDs return the principal amount and interest earned at the end of the tenor. They are also referred to as ‘payout at maturity’. Your interest earnings are reinvested throughout the duration of the FD. Hence, the power of compounding comes into play, and you end up earning higher returns.
Here, you can receive your interest at regular intervals. These could be monthly, quarterly, half-yearly, or annual payouts. Your total returns may be lesser when compared to cumulative FDs. This is because your interest earnings are not reinvested. This type of FD may be ideal if you are looking for a regular source of income.
It is a standard FD offered by banks and NBFCs across the country. Invest a lump sum amount with an issuer of your choice for a specific tenor. You earn returns based on the predetermined FD interest rate.
This type of fixed deposit is also known as a company FD. They are offered by financial and non-financial banking companies. Before choosing your FD issuer, check their CRISIL and ICRA ratings. It helps ensure that you have invested your funds with a reliable and credible issuer.
Like banks and NBFCs, you can book an FD offered by the India Post for a specific tenor. These FDs are backed by the guarantee of the Indian Government. Hence, you can rest assured about the safety of this investment.
Flexi FD is a type of investment that is linked to a savings account and FD. Here, excess funds from your savings account are transferred to an FD. This allows you to earn higher interest rates. You can also withdraw funds whenever required.
Investing in this fixed deposit scheme is ideal if you want to save on tax. A tax-saver FD has a mandatory lock-in duration of 5 years. It provides tax benefits on the principal/invested amount. This FD qualifies for a tax deduction of up to ₹1.5 Lakhs under Section 80C of the Income Tax Act, 1961.
This type has been specifically designed for senior investors above the age of 60 years. It functions the way a regular does. In this case, senior citizens are offered higher rates than the general public.
Non-resident Indians (NRIs) can also benefit from competitive FD interest rates. Here two common types of FDs for NRIs:
This option may be ideal if you earn in foreign currency and plan to convert the earnings to Rupees. The interest you earn on this type of FD is tax-free. Also, the principal and interest amount is repatriable.
Unlike an NRE FD, the interest income you earn through this fixed deposit is taxable. Opening this account may be ideal if you do not intend to convert the amount. You can repatriate your interest earnings and the principal amount up to a certain limit.
These accounts are not affected by exchange rate fluctuations. You can deposit funds either in foreign or Indian currency.
These fixed deposits offer unique benefits when compared to regular FDs. These advantages may be the eligibility criteria, tenor options, or deposit amount. Here is a quick rundown of a few essential points:
Issuers may offer special FD schemes for minors above the age of 10 years
Some FD may require you to deposit ₹1,000 to you kickstart your investment journey
You may not have to pay penalty during premature withdrawal for select FDs
You may enjoy higher FD rates when you opt for special tenors
Certain issuers allow clubs, societies, firms, and organisations to book special term FDs
These FDs are available for odd periods, such as 15 months, 45 days, etc.
For instance, if you book an FD with Bajaj Finance for a tenor of 42 months, you could enjoy a higher interest rate of up to 8.65% p.a.
While booking an FD, choosing the right tenor requires careful consideration. After all, the timeline you plan to stay invested for impacts your returns and liquidity. Here is an overview of key factors that differentiate a long-term and short-term FD.
Basis |
Short-term FD |
Long-term FD |
Purpose |
Ideal option when you want to meet your short-term financial goals |
Best suited to manage long-term needs, like higher education, wedding expenses, etc. |
Returns |
Varies based on the issuer’s interest rate |
A higher FD interest rate translates to increased earnings |
Interest Rate |
Lower as you stay invested for a shorter timeline |
Higher when compared to a short-term FD |
FD Withdrawal |
Not advisable due to the shorter tenor |
Can liquidate the deposit by paying a small penalty |
Whether you plan to open a FD online or offline, ensure that it helps you meet the intended goals. Consider a few advantages you stand to gain when you book a fixed deposit account.
It helps you generate fixed returns, irrespective of market fluctuations
You can choose a convenient timeline ranging from 7 days to up to 10 years based on your goals
Opt for a loan against your FD and get the required funds to manage unforeseen emergencies
Choose to receive the accrued interest in regular intervals or at maturity
Liquidate your FD upon maturity or opt for automatic renewal to stay invested for longer
Book a tax-saving FD offered by a bank to claim deductions of up to ₹1.5 Lakhs u/s 80C of the Income Tax Act, 1961
Opting for this facility helps you amplify your interest earnings by directing excess funds from your savings account to FDs
Check out some vital features and compare them against other investment options.
Parameter |
Attribute |
Investment Term |
Varies from days to years, depending on the FD plan |
Interest Rate |
Predetermined by the issuer |
Senior Citizen Benefits |
Slightly higher interest rates than those of regular FD rates |
FD Booking |
Online or offline based on the issuer’s policies |
Types of FDs |
Different kinds to suit varying investor profiles and goals |
Risk parameter |
Low to zero |
FD Account Closure |
A small penalty may be levied for premature FD closure |
Fixed deposits could serve as attractive investment options when you capitalise on high interest rates from issuers. Choose an FD plan that helps you manage goals, such as:
Meeting your child’s education costs
Planning for your or your child’s wedding
Making a down payment for your house
Saving to purchase a vehicle
Building a retirement corpus
Creating a emergency fund to manage unforeseen situations
Planning a vacation
Investing in FDs is ideal if you seek stability and safety. These are suitable investment options if:
You are a risk-averse investor looking for a secure investment plan
You seek predictable and stable returns
You want to meet short-term goals, such as planning for a vacation
You want to temporarily park funds to utilise them later
You plan to diversify your investment portfolio
You want to generate wealth over the long term by utilising the power of compounding
You own a business and want to invest the surplus funds in a safe option
You are a senior citizen or retiree looking for a regular income source
You plan to meet your long-term goals, such as buying an asset
The below tips may help you choose the right FD:
Choose an FD tenor based on your liquidity needs and financial goals. Remember, the interest rates vary with the FD duration. If you choose to stay invested for a longer period, you could earn higher returns. If you want to invest in an FD to meet short-term goals, choose one with a tenor of under 12 months.
Look for banks/NBFCs offering higher interest rates. This may help you to earn enhanced returns on your deposit. After all, the FD rate has a direct impact on your earnings. Utilise the senior citizen benefits of higher rates and invest funds in your parent’s name.
You can book an FD online without visiting a bank or NBFC. To begin investing, you may have to fill a form and transfer funds from your bank account to the FD account.
These costs vary across issuers, so check them before choosing an FD. Note that a few issuers may waive these charges. So, consider these aspects before proceeding.
If the issuer already has your Know Your Customer (KYC) details, there may be no need to submit ID and address proof. Complete the application form and fill in the details as requested by the issuer.
As the issuer already has your Know Your Customer (KYC) details, there is no need to submit ID and address proof. Simply complete the application form and fill in additional details as requested by the issuer.
Latest passport-size photograph
KYC documents (Aadhaar card/PAN card/voter ID/passport)
PAN card on behalf of the firm
Bank account statements
Incorporation or company registration certificates
KYC documents of authorised members
Board resolution to book an FD account
Partnership deed
Articles of memorandum
Copy of trust deed
PAN card of the entity head or Karta
HUF declaration
KYC documents
Passport-size photograph of the head
Note that the exact requirements may vary depending on the issuer. Check with the bank or NBFC before booking your fixed deposit.
The process is relatively easy when you book an FD online, as it saves time and effort. On Bajaj Markets, you can open your account in just a few minutes. Here is what you need to do:
Click on the ‘INVEST NOW’ tab at the top of the page
Enter your mobile number, date of birth, and PIN code
Verify the OTP to continue the process
Browse the different FD issuer options available and choose one
Once you choose between bank or company deposit, enter the investment amount
Select the tenor and interest payout frequency
Enter your full name and PAN details
After KYC, provide must certain personal details
Add the nominee and bank details
Make the payment
Once your payment is successful, your fixed deposit account is booked. You may receive an email alert within 15 minutes.
To book an FD offline, follow these steps:
Visit the nearest branch of your FD issuer
Complete the FD application form
Submit the required KYC documents for verification
Transfer the funds from your savings account
The concerned representative will inform you once your FD is booked. Collect the Fixed Deposit Receipt (FDR) from the issuer.
You can renew or withdraw the invested FD amount based on your goals and preferences. In most cases, fixed deposits are automatically renewed for the same period and at the same interest rate. You can also renew your plan for better investment terms when the FD matures.
Here are some points to note:
Withdraw your FD amount and the interest accrued once it matures
You must provide standing instructions for auto-renewal
Renew your existing investment within 7 days before maturity if you want to change the terms
Opt for auto-withdrawal to get the maturity proceeds credited to your savings account
When you opt for a premature withdrawal, the penalty may go up to 1% of the interest
Tax-saving FDs come with a mandatory lock-in period of 5 years
This option requires you to link an FD to a savings or current account. Here, the excess funds in your bank account will be transferred to the FD. This helps you improve liquidity, while earning higher interest.
If the balance in your bank account falls below the limit, a specified amount is transferred back. This is to help you meet regular expenses.
Consider the following example to understand the concept better. Say you have ₹50,000 in your savings account and you have fixed ₹25,000 as threshold. Any amount exceeding this limit will be swept to your FD automatically.
In instances where your savings balance falls below ₹25,000, the same amount gets transferred back from the FD created most recently.
Here are a few benefits of this facility:
Ideal for small businesses who do not want to apply for an overdraft against their FD
Easy to withdraw the exact sum you need without having to pay a penalty
Earn higher interest than what you get to earn in a savings or current account
You only lose interest on the money debited from the sweep-in FD; you can continue to earn the same interest
The interest earned from an FD is taxable. Though this may not be the case for certain types of FDs. Check out a few essential facts related to tax implication:
Issuers cut Tax Deducted at Source (TDS) when crediting the interest to your account
TDS is deducted if the interest crosses the threshold of ₹40,000 in a financial year
TDS is only applicable to senior citizen FDs if the interest exceeds ₹50,000 in a fiscal
10% TDS may be deducted on your interest earnings; this could be 20% if you fail to furnish PAN details
No TDS is deducted if your total income is below the minimum taxable amount
Senior citizens can submit Form 15H to avoid TDS deductions
Non-senior citizens must submit Form 15G
While FDs offer secure and guaranteed returns, there are certain risks involved. Factor in the below risks and limitations to avoid unpleasant surprises.
Check the issuer's credit rating to gauge the risk of defaulting on interest payments
Evaluate the inflation risk, as it could erode the value of your FD returns over time
Analyse whether the FD interest earned in a financial year exceeds the limit to avoid TDS
Choose a tenor that aligns with your financial goals and liquidity needs
When booking an FD, consider your risk appetite, returns, time horizon, and goals. Compare different issuers on Bajaj Markets and calculate your earnings beforehand using an FD calculator. This helps you zero in on the best plan that allows you to accumulate a sizeable corpus over time.
Yes, you can book an FD by submitting your ID and address proof documents. But this process may take longer.
You can book an FD offline by visiting the issuer’s nearest branch. On Bajaj Markets, you can open a new account online in minutes.
There is no limit on how many FDs you can open. You can book more than one FD with the same bank/NBFC.
Since FDs are low-risk investments, you could book one at a bank or NBFC based on the interest rates offered.
Fixed deposits are an investment plan. You can begin investing by depositing a lump sum amount for a specific tenor at a fixed interest rate.
You could use the simple interest or compound interest formula based on the tenor. Alternatively, you may use our FD calculator to avoid manual calculations.
Usually, there is no maximum limit on the FD investment. But issuers may set a minimum deposit criteria. On Bajaj Markets, you can book an FD starting at ₹1,000.
The distinguishing factor is liquidity. Savings accounts provide quick access to funds at lower interest rates. But certain FDs may lock-in funds for the tenor tenor at comparatively higher rates.
Certain issuers may permit early account closure depending on the FD type.
FD tenors can vary between 7 days and 10 years. You can choose one based on the interest rate and your financial goals.