Fixed deposits, or FDs, have a perennial significance in the lives of millions of Indians, especially those who are old and are retired from service. The logic is simple – almost all of the old people and retirees have no regular income and depend on interest income to meet their expenditure every month. Since the capital base is limited, ensuring safety of the funds is top priority.
FDs in banks offer safety of capital. Banks are regulated by the Reserve Bank of India. FDs provide a steady and predictable cash flow during the maturity period of the instrument. In this scenario, the interest rate that FDs offer assumes great significance. The interest rate cycle is at its peak in India now. Any reduction in policy interest rate (such as Repo Rate) is likely to trigger a reduction in FD rates by banks as well. So this is a crucial hour to check and grab high interest rates on FDs.
North East Small Finance Bank FD interest rates
North East Small Finance Bank offers FD interest rates above 9% — considered very high – in two maturity baskets. It is paying 9.25% interest for senior citizens on FDs of maturity period 366 days to 545 days (or 1 year 1 day to 1 year 6 months).
The other FDs where 9% and above interest rates are paid carry a maturity period of 546 days to 1,111 days (1 year 6 months 1 day to 3 years 16 days). While the bank is paying 9% to general customers, it is paying 9.5% to senior citizens.
Unity Small Finance Bank FD interest rates
Unity Small Finance Bank FD pays 9% interest to general customers on FDs with tenure of 1,001 days. But for senior citizens, more than 9% interest is paid on FDs with the following tenures – 9.25% for 501-day tenure, 9.25% for 701-day tenure, and the highest 9.50% on FDs of 1,001 days tenure.
No matter how aggressively investment in the stock markets and mutual funds are expanding, Fixed Deposits, or FDs, hold a perennial importance to many, especially to a vast section of the population like the old and the retirees. Check which banks are offering 9% interest now. Personal Finance Business News – Personal Finance News, Share Market News, BSE/NSE News, Stock Exchange News Today
