| Bank (fictional) | 1-year FD | 5-year FD |
|---|---|---|
| Demo National Bank | 6.50% | 6.40% |
| Riverbend Cooperative | 7.10% | 7.00% |
| Gramin Small Finance | 7.40% | 7.20% |
| Metro Private Bank | 6.75% | 6.60% |
Deposits up to 5 lakh rupees per bank are insured (fictional rule).
Small-finance banks pay the highest rates but carry the same insurance limit as larger lenders. A deposit above the limit is not protected, so many planners advise splitting large sums across banks.
Senior citizens
Most banks add 0.5 percentage points for customers over 60. Interest above 40,000 rupees a year attracts tax deducted at source unless a declaration is filed (sample rule).
This is a demo story: every name, place, organisation and figure in it is fictional.
Comments
Comments