Monthly Interest on a ₹2 Crore Fixed Deposit

Fixed deposits can be a great way for you to earn stable returns on your investments, especially when investing large amounts such as ₹2 Crores. You need to compare the interest rates across issuers and choose a suitable tenure. Your interest earnings depend on the tenure you choose and the FD rate.

 

For example, the ₹2 Crore FD interest per month at 7% p.a. for a tenure of 5 years will be ₹1,16,666 with a total interest earning of ₹80.5 Lakhs. 

 

Following the same, choosing a tenure of 3 years for the same FD amount at 7% p.a. will generate a monthly interest payout of ₹1,16,666. However, the interest earned per annum will come down when you choose a shorter timeline, which in this case will be ₹ 45 Lakhs.

 

Read on to learn more about the applicable interest rates offered by various banks and financial institutions in the following sections.

Refer to the table below to know the ₹2 Crore FD interest per month at different rates for 5 years.

Note: The monthly interest payouts mentioned above are indicative. Your actual returns will vary depending on the bank or NBFC's policies.

Choosing the right financial institution is key to maximising your FD returns. In 2025, check out an estimate of the ₹2 Crore FD interest per month from some of the top banks and NBFCs for 5 years.

Note: The above-mentioned rates are as of June 2024 and subject to change at the bank or NBFC's discretion.

NRIs can invest in fixed deposits through NRE and NRO accounts offered by banks and NBFCs. NRE accounts handle foreign earnings with repatriation benefits, while NRO accounts manage income generated within India. Below are the interest rates for NRE and NRO fixed deposits.

Note: The above-mentioned rates are subject to change at the bank or NBFC's discretion.

Here's a table outlining the maturity amounts for a ₹2 Crore FD at an interest rate of 7.70% p.a. See how the yearly payout differs across tenures. 

Note: The figures above are for illustration purposes only. Actual interest rates and payouts may vary across different banks and NBFCs.

Banks and NBFCs often impose penalties or adjust interest rates if you withdraw your FD before maturity. Knowing these details upfront can help you choose the best option for your financial needs.

FD Premature Withdrawal Example 

If you invest ₹2 Crores in a fixed deposit at an interest rate of 7.70% p.a. for a 4-year tenure, the interest rate is locked. However, if you choose to withdraw prematurely after 1 year, the applicable interest rate for that period would drop to 6.50% p.a. Additionally, with a 1% penalty for early withdrawal, the final interest rate is further reduced to 5.50% p.a., leading to lower returns than initially expected.

Note: The figures above are for illustration purposes only. The actual penalty charges may vary depending on the bank or NBFC’s policies.

Along with the FD returns, assess tax implications on your investment to get an estimate of actual earnings. The following are certain things to remember.

• If you earn more than ₹40,000 in a year, the bank or NBFC will deduct Tax Deducted at Source (TDS) at 10%

• For senior citizens, the exemption limit for taxation on FD interest is ₹50,000 in a financial year

• Submit Form 15G or 15H to avoid deductions if you are exempt from paying income tax

• If you have furnished your PAN details, the bank or NBFC will deduct TDS at a standard rate of 10%

• If you have not provided PAN details, the bank will deduct higher TDS at 20%

 

In addition to TDS, the interest income is also subject to income tax. It gets added to your taxable income and is then taxed as per the slab rate. You can invest in a tax-saver FD and claim a deduction of up to ₹1.5 Lakhs on the investment amount u/s 80C.

To calculate interest per month on a fixed deposit of ₹2 Crores, follow these simple steps:

1. Enter the investment amount, tenure, and interest rate

2. Opt for the ‘Monthly’ option under the ‘Interest Payout’ section

3. Check the estimate of total interest earnings and monthly payouts

Maturity Amount Calculation Example

If you invest ₹2 Crores in a fixed deposit for a tenure of 4 years (48 months) at an interest rate of 7.70% p.a., the monthly interest can be calculated as follows:

• Monthly Interest Earned = ₹2,00,00,000 × 7.70% / 12

• Monthly Interest Earned = ₹2,00,00,000 × 0.077 / 12

• Monthly Interest Earned = ₹1,28,333.33

 

Thus, the monthly interest on an FD of ₹2 crore at 7.70% p.a. would be ₹1,28,333.33.

 

Total Interest Earned Upon Maturity

• Total Interest Earned = Monthly Interest × Number of Months

• Total Interest Earned = ₹1,28,333.33 × 48

• Total Interest Earned = ₹61,60,000

 

In summary, the total interest earned over the 4-year tenure would be ₹61,60,000, with a monthly payout of ₹1,28,333.33

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.