It is possible to earn 9% and more on your fixed deposit (FD) this year. Yes! You heard that right. There are many small finance banks that offer a very high rate of interest. Let us take a look at some of them here:
- Fincare Small Finance Bank is one of the most highest paying banks as far as fixed deposits are concerned. The banks pays 9.50% per annum to senior citizens who invest money from 24 months 1 day to 36 months. For the same tenure, regular deposit holders will be able to get up to 9% per annum.
Given below are the highest interest paying tenures for Fincare Small Finance Bank:
- Another bank that pays up to 9.50% per annum interest for regular deposit holders below the age of 60 years is Mahaveer Bank. A rate of 9.50% per annum can be earned for holding a deposit anywhere from above 2 years to 5 years.
Given below is the updated table of Mahaveer Bank FD rates:
- Mahaveer Bank pays up to 10% per annum on fixed deposits for a tenure that ranges from more than 2 years to 5 years, making it one of the most lucrative investments for people in this age group.
- Ujjivan Small Finance Bank pays a rate of 8.00% per annum on deposits that are kept in the bank from 1 year to 2 years.
Given below is the updated table of Ujjivan Small Finance Bank FD rates:
- Senior citizens who invest in Ujjivan will be able to get paid at the rate of 8.50% per annum.
- ESAF Small Finance Banks pays 7.50% per annum to senior citizens for an investment duration of 1093 days to 1819 days and 1821 days to 3652 days. For the same duration, regular deposit holders will get paid at the rate of 7.00% per annum.
- Suryoday Small Finance Bank pays those who are 60 years and above an interest rate of 9% per annum for a time frame of more than 24 months to 36 months and 8% per annum for above 36 months to 60 months.
- Regular depositors will get paid 8.75% per annum for 24 months to 36 months and 7.75% per annum for above 36 months to 60 months.
Things to know about small finance bank FDs:
- The interest rate paid is generally much higher, making it a well-paying investment.
- The risk associated with this type of investment is definitely higher than other type of investment classes.
- The features and benefits that are offered by small finance banks are very similar to that given out by other/regular banks.
- Many of these banks offer the facility to open and close a time deposit online in a matter of seconds.
- With mobile banking, opening a time deposit in such a type of a bank has become more and more easier.
- Online banking and net banking facilities can also be used for premature closure or for premature withdrawal.
- Loan or overdraft can be taken against the term deposit easily just like other bank FDs.
The final call
For those who are willing to take a slight risk, the results can be quite rewarding if you invest in small finance bank term deposits.