When it comes to keeping your money in a safe place, the first thing that comes to most people’s mind is bank FD. In this, a lump sum amount has to be deposited for a fixed period of time and returns are received on it as per the pre-determined interest rate. People usually age from 1 year to 5 years or more. FD Let’s get it done. If you are thinking of getting an FD for 5 years, then there are five such banks which are offering 6.7 percent to 7.5 percent annual interest to eligible customers.
How much interest is being received in which bank?
The interest rate on 5 year FD is different in every bank. At the top is DCB Bank, which is giving 7.5 percent annual interest. After this, the rates of three banks are equal. Senior citizens will get 7.25% – 7.65% per annum here.
Yes Bank, Jammu & Kashmir Bank and IDFC First Bank are offering 6.8 percent interest on 5 year FD. Whereas the rate of RBL Bank is the lowest among all, i.e. 6.7 percent.
How much will you get in 5 years on FD of Rs 10 thousand
Now the question arises that if an FD of Rs 10,000 is made at once, how much will be in hand after 5 years. It depends on the interest rate of the bank.
An FD of Rs 10,000 at the rate of 7.5 percent in DCB Bank can be worth around Rs 14,499 after 5 years. That means a profit of about Rs 4,499. At the same rate of 6.7 percent in RBL Bank, the same amount can reach around Rs 13,941.
What is the difference in interest rates?
There is a difference of 0.8 percent in the interest rates of DCB Bank and RBL Bank. The effect of this difference is clearly visible in 5 years even on a small amount like Rs 10 thousand. The bigger the amount, the more the difference will increase. Then, before making FD, it is wise to compare the rates of different banks.
A little more benefit for senior citizens
The interest rate on bank FD usually ranges between 6 percent to 7.50 percent. This rate is slightly higher for senior citizens.