Banks increased their lending and deposit rates significantly as a result of the RBI raising the repo rate by 225 basis points to 6.25 per cent during the past eight months. Bank fixed deposits with tax benefits are eligible for Section 80C tax deductions up to Rs 1.5 lakh. However, there is a 5-year lock-in on these FDs. The FD interest rate charts for tax-saving deposits are topped by smaller private banks and small finance banks.
Many banks are offering extremely favourable interest rates on 3-year fixed deposits. In actuality, the interest produced on 3-year deposits is typically significantly larger compared to accounts with 1- or 2-year durations
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Learn more about the top three-year fixed deposits available, as per Bank Bazaar. Here’s a list of the best FD interest rate for below Rs 2 crore of banks:
1. Fincare Small Finance Bank:
Fincare provides favourable interest rates for a three-year term. They provide the general public with 7.19% p.a. And 7.71% for senior citizens. The bank offers a variety of customizable interest payout choices as well as an early withdrawal.
2. KTDFC:
KTDFC owned by the Kerala government offers Money Multiplier Schemes and Periodic Interest Payment Schemes to the customers. Term deposits opened for a duration of three years are offered at a profitable rate of 7.00% per year. The interest rate available to seniors is 7.25% p.a. All FD schemes are subject to TDS.
3. Shriram City:
The interest rate for three years’ worth of cumulative deposits is 7.86% p.a.
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4. LVB:
For opening a term deposit with a 3-year investment period, the bank provides the general public with an interest rate of 6.50% per annum. Senior citizens are provided with an interest rate of 7.00% per year. In the event of an early withdrawal, there is a 1% penalty cost.
5. Equitas Small Finance Bank:
For a three-year term, the bank is offering a high-interest rate of 7.25% per annum. seniors are offered an interest rate of 7.45% each year. A facility for premature withdrawal is available.
