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If you want to earn huge profits while keeping your money completely safe, then the fixed deposit scheme (FD) of the bank can become the best option for you. There is neither risk like stock market nor the tension of losing money, just invest once and you will keep earning continuously at fixed interest rate.

Just imagine, if you invest money in an FD of ₹ 5 lakh and the bank is offering an average interest rate of 7.25%, then after just 15 years your investment will more than triple to ₹ 15.13 lakh. This means such a huge profit without any risk from just a simple FD!

How are FDs giving such amazing returns?

Long Term Investment: When you run an FD for 10–15 years, the interest is compounded i.e. “interest on interest”. Investing in High Return Banks: Nowadays many small finance banks are offering interest rates ranging from 7% to 8.5%. Senior citizens get even more benefits, around 0.50% extra interest. Fixed security: On investing money in FD, one gets insurance cover from DICGC, due to which the amount up to ₹ 5 lakh remains completely safe.

Estimated return calculation of ₹5 lakh FD

Investment Period Interest Rate Total Return (Estimated) 10 Years 7.25% ₹10.07 Lakh 12 Years 7.25% ₹12.42 Lakh 15 Years 7.25% ₹15.13 Lakh (Note: This calculation has been done using the compound interest formula. The interest rate may vary slightly in different banks and tenures.)

Which bank is giving the best returns?

AU Small Finance Bank: Up to 8% interest rate Equitas Small Finance Bank: Up to 8.2% Utkarsh Small Finance Bank: Up to 8.5% IDFC FIRST Bank: Up to 7.75% Make an FD of 10–15 years in these banks, then your ₹5 lakh can directly reach ₹15–17 lakh.

Keep these things in mind while investing in FD

Always check the interest rate and lock-in period of the bank carefully. Compare schemes of different banks online. Senior citizens should take separate FD, because they get the benefit of extra interest. If necessary, choose the option of auto renewal, so that the FD gets renewed automatically.