FD Rates 2021

FD Rates 2021 or the Fixed Deposit Rates 2021 are the interest rates that are charged on the fixed deposits. Fixed Deposits are no doubt a safe option. They guarantee consistent interest rates, various options of payment of interest, special rates of interest for senior citizens and no risks related to the market. It becomes really important for a person to compare the latest fixed rates of interest among the leading banks in the country before choosing a particular bank and opening or renewing a fixed deposit.

fd rates

 

FD Rates 2021 Of Top 10 Banks in India Below Rs. 2 Crores

Here are the latest FD Rates 2021 of the top 10 banks in India that offer fixed deposits, for the time period ranging from 7 days to a maximum of 10 years according to August 2021.

Name of the Bank For a General Citizen For a Senior Citizen
State Bank Of India FD 2.90%- 5.40% 3.40%- 6.20%
ICICI Bank FD 2.50%- 4.40% 2.50%- 4.40%
HDFC Bank FD 2.50%- 5.50% 3.00- 6.24%
PNB Bank FD 2.90%- 5.25% 3.50%- 5.75%
Canara Bank FD 2.90%- 5.25% 2.90%- 5.75%
Axis Bank FD 2.50%- 5.75% 2.50%- 6.50%
Bank Of Baroda FD 2.80%- 5.25% 3.30%- 5.75%
IDFC Bank FD 2.75%- 5.75% 3.25%- 6.25%
Bank of India FD 2.85%- 5.05% 3.35%- 5.55%
Punjab and Sindh Bank FD 3.00%- 5.30% 3.50%- 5.60%

The Best FD Rates in the country among the Top 10 Banks are summed up in the following points: –

  • The Axis Bank offers the highest interest rates among the FD Rates 2021 as it offers 5.75% per annum for a time period of 5 years. Also, for senior citizens, the interest rate is 6.50%.
  • The second bank that offers the highest interest rates among the FD Rates 2021 is the Union Bank of India. The rate of interest offered is 5.60% per annum.
  • The third bank offering the highest interest rate is HDFC Bank, and the rate of interest is 5.50%.

FD Rates 2021 Offered by the Popular Banks in the Country Below Rs. 2 Crores

The interest rates of fixed deposits offered by the other popular banks in the country below the value of Rs. 2 crores according to August 2021 are as below: –

Name of the Bank For a General Citizen For a Senior Citizen
Yes Bank FD 3.25%- 6.50% 3.75%- 7.25%
Induslnd Bank FD 2.50%- 6.00% 3.00%- 5.50%
UCO Bank FD 3.25%- 5.00% 3.00%- 5.50%
United Bank of India FD 2.90%- 5.25% 3.50%- 5.75%
Allahabad Bank FD 2.90%- 5.15% 3.40%- 5.65%
Central Bank of India FD 2.75%- 5.00% 3.25%- 5.5%
Indian Bank FD 2.90%- 5.15% 3.40%- 5.65%
Indian Overseas Bank FD 3.40%- 5.25% 4.15%- 6.00%
Bandhan Bank FD 3.00%- 5.00% 3.75%- 5.75%

The Best FD Rates in the country among the Top Popular Banks are summed up in the following points: –

  • The highest interest rate on the FD is offered by the YES Bank, which is 6.50% for the time period from 5 years to 10 years.
  • The highest interest rate on the FD for a senior citizen is 7.25% which is provided by the YES Bank of India for a time period of 5 years to 10 years.

Factors Affecting the FD Interest Rates 2021

There are different factors that affect the FD Interest Rates, and some of them are mentioned as under: –

  • Tenure of Deposit: – The tenure of the fixed deposit affects the interest rates on the fixed deposits. The lower the tenure of the fixed deposit, the lower will be the interest rate higher the tenure of the fixed deposit, the higher will be the interest rate.
  • Amount of Deposit: – The amount of deposit also affects the interest rate of a fixed deposit. The higher the amount of deposit, the higher will be the interest rate, especially for the bulk deposits which exceed Rs. 1 crore.
  • Type of Depositor: –  As we know that the interest rates on fixed deposits vary for a general citizen and for a senior citizen. Therefore, senior citizens get around 0.25%- 0.50% additional interest rates on the fixed deposits.

Fixed Deposit Interest Rate Calculator

The rate of interest that a person can earn on his deposited amount depends on a lot of factors such as the amount of money invested, taxation, tenure, interest computation frequency, etc. One can easily calculate the returns on his investments with the help of an FD Calculator. The whole process of calculating the amount is very easy and hassle-free. Enter the term of deposit, then chooses the type of FD ( as in quarterly, reinvestment or monthly payment), amount of the investment, interest rate and the date of opening of the account. After this, you will be easily able to calculate the return that you will get.

Fixed Deposit Interest and Income Tax

  • The income that a person earns on his FD is known as Income from other sources, and it is taxable.
  • The banks will not deduct the TDS if the interest of income from the FD is less than Rs. 40,000 in a year.
  • Also, a person needs to submit Form 15G and Form 15H to the bank at the beginning of a financial year.

FAQs On FD Rates 2021

Can I get a monthly interest rate on a fixed deposit?

Yes, you can easily get yourself a monthly interest payout on the fixed deposit.

Is it a good option to invest in FD?

It is not just good but is one of the safest options to invest in a fixed deposit. Also, the interest rates offered on them by the bank makes it better.

Do banks charge a penalty if a person withdraws their FD prematurely?

Yes, a penalty is charged by the banks for premature withdrawal of the FD by a person.

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