Investment Amount
Interest Rate
Total Interest Amount
Total Payout (Principal + Interest)
If you are opting for a Fixed Deposit (FD) of ₹10 Lakhs with a monthly payout option, it's crucial to understand the potential earnings at different interest rates. Compare the rates offered by banks and Non-banking Financial Companies (NBFCs) to secure the best possible FD rates. Choose a plan that aligns with your financial goals and needs.
Refer to this table to know the monthly returns on a deposit of ₹10 Lakhs for a tenure of 5 years.
Deposit Amount |
Interest Rate (p.a.) |
Monthly Interest Payout |
₹10 Lakhs |
6.00% |
₹5,000 |
₹10 Lakhs |
6.50% |
₹5,417 |
₹10 Lakhs |
7.00% |
₹5,833 |
₹10 Lakhs |
7.50% |
₹6,250 |
₹10 Lakhs |
8.00% |
₹6,666 |
₹10 Lakhs |
8.50% |
₹7,083 |
₹10 Lakhs |
9.00% |
₹7,500 |
₹10 Lakhs |
9.50% |
₹7,916 |
₹10 Lakhs |
10.00% |
₹8,333 |
Note: The monthly interest payouts mentioned above are indicative. Your actual returns may vary based on the bank or NBFC's policies.
The monthly interest on ₹10 Lakhs invested in an FD with a bank or NBFC varies depending on their policies. Review the rates and potential monthly payouts over a 5-year period.
Bank/NBFC/HFC |
Non-senior Citizens (p.a.) |
Monthly Interest Payout |
Senior Citizens (p.a.) |
Monthly Interest Payout |
Bajaj Finance Ltd. |
7.81% |
₹6,508 |
8.05% |
₹6,708 |
PNB Housing Finance Ltd. |
7.35% |
₹6,125 |
7.55% |
₹6,291 |
Mahindra Finance Ltd. |
7.55% |
₹6,291 |
7.80% |
₹6,500 |
LIC Housing Finance |
7.50% |
₹6,250 |
7.75% |
₹6,458 |
Shriram Finance |
8.47% |
₹7,058 |
8.97% |
₹7,475 |
ICICI Bank |
7.00% |
₹5,833 |
7.60% |
₹6,333 |
HDFC Bank |
7.00% |
₹5,833 |
7.50% |
₹6,250 |
IDFC First Bank |
7.00% |
₹5,833 |
7.50% |
₹6,250 |
Axis Bank |
7.00% |
₹5,833 |
7.75% |
₹6,458 |
IndusInd Bank |
7.25% |
₹6,041 |
7.75% |
₹6,458 |
YES Bank |
7.25% |
₹6,041 |
8.00% |
₹6,666 |
Jana Small Finance Bank |
7.25% |
₹6,041 |
7.75% |
₹6,458 |
Kotak Mahindra Bank |
6.20% |
₹5,166 |
6.70% |
₹5,583 |
SBI |
6.50% |
₹5,416 |
7.50% |
₹6,250 |
AU Small Finance Bank |
7.21% |
₹6,008 |
7.70% |
₹6,416 |
Ujjivan Small Finance Bank |
7.20% |
₹6,000 |
7.70% |
₹6,416 |
Note: The above rates are valid as of 18th June 2024 and subject to change at the discretion of the bank or NBFC.
Here’s a table outlining the maturity amounts for an investment of ₹10 Lakhs at an interest rate of 8.05% p.a. The breakdown is provided for various tenures:
Tenure |
Yearly Payout |
1 Year (12 Months) |
₹10,80,500 |
2 Years (24 Months) |
₹11,67,480 |
3 Years (36 Months) |
₹12,61,462 |
4 Years (48 Months) |
₹13,63,010 |
5 Years (60 Months) |
₹14,72,732 |
Note: The figures above are for illustration purposes only. Actual interest rates and payouts may vary across different banks and NBFCs.
As mentioned, you need to pay tax on your interest earnings in case it crosses a certain threshold. Therefore, if you plan on investing in a fixed deposit, ensure you are aware of taxation rules. Here is what you need to know:
The interest amount is exempt from taxation if the annual earnings does not exceed ₹40,000
For senior citizens, this limit extends to ₹50,000
A TDS of 10% is levied if the interest amount goes beyond the prescribed threshold
A TDS of 20% is levied if you do not submit your PAN card details
The online fixed deposit interest calculator can help you calculate the interest from an FD for various tenures. To get accurate results within a few seconds, enter these details into the digital tool:
Principal amount
Investment tenure
Interest rate
If you invested ₹10 lakhs in an FD at an interest rate of 8.40% p.a. for a period of 3 years, here's how you can manually calculate the monthly interest earned:
Monthly Interest Earned = Principal × Interest Rate / 12
Monthly Interest Earned = ₹10,00,000 × 8.40% / 12
Monthly Interest Earned = ₹10,00,000 × 0.084 / 12
Monthly Interest Earned = ₹84,000 / 12
Monthly Interest Earned = ₹7,000
So, the monthly interest earned on an FD of ₹10 lakhs at 8.40% p.a. would be ₹7,000.
Interest Earned on Maturity = ₹7,000 × 36
Interest Earned on Maturity = ₹2,52,000
The total interest accumulated over the 3-year tenure would amount to ₹2,52,000.
Note: Check the formula used by the bank or NBFC to get an accurate estimate.
While most banks and NBFCs permit premature FD withdrawals, it may be subject to a penalty. This may include reduced interest rates and premature withdrawal fees, typically ranging from 0.5% to 1% of the amount withdrawn. The interest rate applied will depend on the completed tenure at the time of withdrawal.
If you invest ₹10 lakhs in an FD with a 3-year tenure at an interest rate of 8% p.a., but decide to withdraw prematurely after 1 year, the interest rate will change. The applicable rate for the 1-year period would be 7.00% p.a. After applying a 1% penalty for premature withdrawal, the final interest rate reduces to 5.00% p.a., leading to lower returns.
Parameter |
Details |
Principal Amount Invested |
₹10,00,000 |
Maturity After 3 Year |
₹12,59,712 |
Interest Rate at the Time of Booking |
8.00% p.a. |
Effective Interest Rate for 1 Year Tenure |
7.00% p.a. |
Premature Withdrawal Penalty Rate |
1% p.a. |
Final Interest Rate |
5.00% p.a. |
Final Amount Payable |
₹10,50,000 |
Note: The figures above are for illustration purposes only. The actual penalty charges may vary depending on the bank or NBFC’s policies.
Check the Monthly Interest Rate for Your Fixed Deposits |
||
The information provided by BFDL is related to the rates provided by Banks and Deposit taking NBFCs as available from public domain and under no circumstances is intended to be source of advice or recommendation of any financial investment advice or endorsement of any sort. BFDL disclaims any responsibility or liability regarding inaccuracies, omissions, mistakes etc. as well as offers and use of such information set out is entirely at the User’s own risk and User should exercise due care prior taking of any decision, on the basis of information mentioned hereinabove. Display of any intellectual property along with the related product information does not imply BFDL’s partnership with the owner of the intellectual property of such products and is solely for the purpose of information, unless otherwise provided by BFDL.
Yes, NRIs can open an FD of ₹10 Lakhs either in a bank or an NBFC that offers this facility and earn attractive interest on fixed deposits in India.
Yes, the returns earned annually on an FD of ₹10 Lakhs are taxable as per the applicable income tax slab rate.
No, there is no official cap on the FD interest rates for ₹10 Lakhs. The rates vary between banks and NBFCs and are subject to change.
The documents required for an FD of ₹10 Lakhs include your identity proof, signature proof, and address proof. These include passport, voter ID card, Aadhaar card, ration card, driving licence, etc. Senior citizens may need to submit age proof along with Form 15H.
To invest in a fixed deposit of ₹10 Lakhs, you must be at least 18 years old and hold a PAN card. Members of Hindu Undivided Families (HUFs) must have a separate PAN card in their name. Minors can open an FD along with an adult guardian.
You can calculate monthly interest on an FD of ₹10 Lakhs using an FD calculator online. Simply enter the amount, maturity period, and the fixed deposit interest rate to get the results within seconds.
The monthly interest you can earn on a fixed deposit of ₹10 Lakhs depends on the interest rate offered by the bank or NBFC. For instance, with an interest rate of 6% and a tenor of 5 years, the monthly interest payout will be ₹5,000.
Yes, there may be penalties for premature withdrawal of an FD of ₹10 Lakhs before its maturity date. These penalties vary among banks and financial institutions and are usually a percentage of the interest earned or a fixed amount.
Yes, many banks offer loans against fixed deposits as collateral. The loan amount you can borrow typically ranges from 70% to 90% of the fixed deposit's principal amount. Interest rates on such loans are generally lower than other types of loans.
If you do not renew your fixed deposit of ₹10 Lakhs after maturity, the funds, including the interest earned, will be transferred to your linked savings account. Some banks may automatically renew the FD for the same tenor unless you instruct them otherwise.
Deposits up to ₹5 Lakhs in a bank, including fixed deposits, are insured under the Deposit Insurance and Credit Guarantee Corporation (DICGC) scheme. Therefore, your fixed deposit of ₹10 Lakhs is insured up to ₹5 Lakhs, and any amount above that is not covered by insurance.
Yes, you can choose monthly interest payouts on your fixed deposit.