5 Year Tax Saving FD: Compare Interest Rates and Returns Across Banks

A 5-year tax-saving FD can also qualify for a deduction under Section 80C of the Income Tax Act, subject to applicable tax rules. Here is what a ₹10,000 investment could become in five years at the interest rates mentioned.

Yes Bank

A ₹10,000 FD with Yes Bank at an interest rate of 6.8% could grow to around ₹13,975 at the end of five years.

City Union Bank

City Union Bank is also offering a 6.8% interest rate in the example considered. A ₹10,000 deposit could therefore reach approximately ₹13,975 after five years.

IDFC FIRST Bank

At the same 6.8% rate, a ₹10,000 five-year FD with IDFC FIRST Bank could grow to around ₹13,975 by maturity.

Jammu & Kashmir Bank

Jammu & Kashmir Bank offers a 6.9% interest rate for the five-year FD considered here. A ₹10,000 deposit could grow to approximately ₹14,044.

DCB Bank

DCB Bank offers the highest rate among these five examples at 7.5%. With a ₹10,000 investment, the maturity amount could reach around ₹14,499 after five years.

Which FD Gives The Highest Return?

Among these five examples, the 7.5% FD from DCB Bank offers the highest maturity amount, at around ₹14,499 on a ₹10,000 investment. Jammu & Kashmir Bank follows with approximately ₹14,044, while the three banks offering 6.8% could provide around ₹13,975.

However, FD rates can change, and the actual maturity amount may vary depending on the bank's current rate, compounding frequency and applicable terms. Investors should check the latest rates and tax rules before investing.


Disclaimer: This article is for informational purposes only and does not constitute investment advice. Please consult a certified financial advisor before making any decisions. NewsPoint is not responsible for any gains or losses arising from this information.