A fixed deposit is one of the most familiar savings options for individuals who prefer stability and predictable returns. It enables you to deposit funds for a particular period while earning interest on the amount in the course of that tenure. For many, it becomes a natural step after maintaining funds in a savings account.
While a savings account provides simple access to funds for daily use, a fixed deposit concentrates more on structured savings. The interest earned usually depends on the tenure you choose. In general, longer deposit periods may offer comparatively higher interest rates.
Being aware of how such interest rates differ across different tenures can help you decide when and how to invest your money in a more effective way.
Short-term fixed deposit interest rates
Short-term deposits are often chosen by individuals who want to park surplus funds for a brief period while still earning interest.
7 days to 14 days – 3.25%
This very short tenure is usually used when funds are available temporarily but might be needed soon.
15 days to 45 days – 3.50%
A slightly longer short-term option that allows money to earn modest returns compared to keeping it idle in a savings account.
46 days to 90 days – 4.50%
This tenure might match individuals looking to save funds for a few months with no need to commit for a longer duration.
Early medium-term deposit options
Such tenures offer a balance between accessibility and improved returns as compared to very short deposits.
91 days to 120 days – 4.75%
This option might suit individuals planning for short-term financial goals within a few months.
121 days to 180 days – 4.75%
A six-month deposit period that permits funds to earn stable interest while staying relatively flexible.
Medium-term fixed deposit rates
Mid-term deposits offer higher interest compared to short-term options, which makes them suitable for individuals planning savings over a year.
181 days to 271 days – 6.00%
272 days to 335 days – 6.25%
336 days to less than 12 months – 6.50%
Such tenures might appeal to individuals who want their funds to grow while keeping the investment period manageable.
One-year to two-year deposit tenures
Deposits around the one- to two-year range are often considered by individuals planning structured savings for near-term goals.
12 months – 6.65%
12 months 1 day to less than 18 months – 6.75%
18 months – 6.75%
18 months 1 day to less than 24 months – 7.00%
These options offer a slightly higher interest level, encouraging savers to keep their money invested longer than typical savings account balances.
Two-year to three-year fixed deposit rates
Deposits between two and three years may suit individuals looking for stability while planning mid-term financial goals.
24 months to less than 35 months – 7.00%
35 months – 6.90%
35 months 1 day to less than 36 months – 7.00%
This range reflects how interest rates may slightly adjust depending on the exact tenure chosen.
Long-term fixed deposit rates
Longer deposit tenures are often selected by individuals planning more structured and disciplined savings.
36 months to less than 60 months – 7.00%
60 months – 6.75%
60 months 1 day to up to 120 months – 6.75%
These long-term deposits allow funds to remain invested over several years, offering steady and predictable growth.
A thoughtful way to approach fixed deposits
Understanding fixed deposit interest rates helps individuals choose a tenure that matches their financial goals and timelines. While a savings account remains useful for everyday access to funds, a fixed deposit can support structured savings and planned financial growth.
When you select the right tenure based on your needs, whether short-term flexibility or longer-term stability, you create a savings approach that works with your financial priorities. Over time, this thoughtful balance between a savings account and fixed deposits can help bring both convenience and consistency to your financial planning.
Angela Spearman is a journalist at EzineMark who enjoys writing about the latest trending technology and business news.
