10 Lakh FD Interest Per Month Returns in Banks

Updated on 24 Dec, 2024

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Investing a large sum of money, such as 10 lakhs, in fixed deposits (FDs) can help you generate a steady monthly income and achieve your financial goals. However, it is important to do your research, compare interest rates, and choose a reputable bank or financial institution to ensure a stress-free investment experience.

Monthly Interest for 10 Lakhs in FD 2024

The following table lists 10 lakh FD interest per month for different banks over a tenor of 5 years for general public:

Bank Name	Interest Rates	Monthly Interest for 10 Lakh
Bank of Maharashtra	5.80%	Rs. 4,833
City Union Bank	6.25%	Rs. 5,208
Central Bank of India	6.25%	Rs. 5,208
State Bank of India	6.50%	Rs. 5,417
Punjab National Bank	6.50%	Rs. 5,417
Indian Overseas Bank	6.50%	Rs. 5,417
Bank of Baroda	6.50%	Rs. 5,417
Bank of India	6.50%	Rs. 5,417
Axis Bank	7.00%	Rs. 5,833
RBL Bank	7.10%	Rs. 5,917
HDFC	7.40%	Rs. 6,167
ICICI	7.60%	Rs. 6,333

Frequently Asked Questions

Are there special interest rates for senior citizens?

Yes, most financial institutions offer special interest rates for senior citizens. Its in the range of 0.25% to 0.5% higher than regular rates.

Can I take a loan against my 10 lakh Fixed Deposit?

One of the benefits of having an FD is that you can take a loan against it in case of a financial emergency. By opting for a loan against your FD, you can avoid breaking it prematurely and losing out on the accrued interest. Banks generally offer loans ranging from 60% to 90% of the deposited amount.

How is the interest on Fixed Deposit calculated?

The calculation of interest on a Fixed Deposit depends on various factors, including the tenure of the FD and the prevailing interest rate at the time of opening the deposit. For cumulative FDs, interest is calculated quarterly and compounded/reinvested into the principal amount. Traditional FDs with quarterly or monthly interest payout options have simple interest calculated and paid accordingly. Short-term FDs are typically calculated based on a simple interest basis.

Can I make a 10 lakh fixed deposit in the name of a minor alone?

Yes, it is possible to make a deposit in the name of a minor. However, the minor must be represented by their natural or legal guardian. The application form for the deposit must be signed by the guardian on behalf of the minor. All communication regarding the deposit will be addressed to the guardian.

Can I withdraw my 10 lakhs FD before maturity?

Yes, you can withdraw your 10 lakhs FD before maturity, but you may have to pay a penalty. The amount of the penalty will vary depending on the bank or financial institution.