Riya has invested Rs.10000 in a private bank. They offer her 6.75% interest rate. Her total interest earned would amount to Rs.3,975. At maturity, including the principal, the amount would be Rs.13,975.
Decide on the principal amount and the duration carefully. It makes a lot of difference as to how much you stand to gain.
Fixed Deposits in Bank for Period Between 5 Years to 10 Years
SBI and ICICI bank offers 6.50% interest rates. If you invest Rs.20,000 for a duration of 8 years at 6.50% interest, you can expect a decent sum of Rs.33,500 on maturity.
As you’re well aware, to avoid premature withdrawal and penalty, you should choose a term of 200 days or 1 year for a short-term investment. If you’re looking at long-term savings and don’t intend to use the amount immediately, 10 years or 5 years can be ideal.
In the online you can find the lots of Fixed depsoit calculator for etermined the your FD retuens. Here’s a good tip. Decide the initial amount depending upon your financial status and requirements for the future. This way, you can plan your investments based on your financial capabilities. That’s something that can help you make an effective investment, and not leave you either saving too little, or struggling to make ends meet while your money is locked away.
There are several reasons why you should choose FD over regular savings. One, you’re promised good returns for your investment. Second, it helps you cultivate the habit of saving money. Whether your lock-in period is for 91 days or 9 years, FDs are a great way to ensure that you get the most of your money without risking too much. That’s one of the best deals that you can get when it comes to investments.Also See: 5 Years, 6 50, Fixed Deposits, 6 75, Years, Money, Interest