Investing in FDs with a significant amount, like 5 lakhs, can help you secure a regular monthly income and achieve your financial objectives. Make sure to research the various options available, compare interest rates, and choose a trusted bank or financial institution to enjoy a stress-free investment journey.
Monthly Interest for 5 Lakhs in FD 2023
|Bank Name||Interest Rates||Monthly Interest for 5 Lakh|
|Central Bank of India||7.25%||Rs. 3,021|
|City Union Bank||7.50%||Rs. 3,125|
|Bank of Maharashtra||7.50%||Rs. 3,125|
|Post Office||7.50%||Rs. 3,125|
|Bank of India||7.50%||Rs. 3,125|
|State Bank of India||7.60%||Rs. 3,167|
|Punjab National Bank||7.75%||Rs. 3,229|
|Indian Overseas Bank||7.75%||Rs. 3,229|
|Bank of Baroda||7.75%||Rs. 3,229|
|Axis Bank||7.85%||Rs. 3,271|
|RBL Bank||8.30%||Rs. 3,458|
|AU Small Finance Bank||8.50%||Rs. 3,542|
|Shriram Finance||8.68%||Rs. 3,617|
|Fincare Small Finance||9.11%||Rs. 3,796|
Frequently Asked Questions
You can opt for a monthly interest payout option to generate a monthly income from your FD. When you invest 5 lakhs in FD, you can choose to receive the interest earned on a monthly basis, which can serve as a regular source of income.
Yes. Banks offer tax-saving fixed deposits with a 5-year tenure. These tax savings FDs qualify for income tax exemption under Section 80C of the Income Tax Act, 1961.
Senior citizen depositors enjoy higher interest rates on FD. Also, they enjoy higher TDS deductions compared to regular citizens. Furthermore, senior citizens have the option to submit Form 15H if they do not possess a taxable income. This allows them to avail an exemption from TDS deductions.
The minimum tenure for a Fixed Deposit is usually seven days, while the maximum tenure can extend up to 10 years.
Yes, if you choose to close your Fixed Deposit account before its maturity, your bank or financial institution may charge a penalty. Typically, the penalty results in a lower interest payout, ranging from 0.5% to 1%.