SBI FD RATES / Opportunity to get more than 8% interest on FD, these banks are giving such interest rate

After the Reserve Bank of India cut the repo rate, banks have reduced FD interest. However, small finance banks are paying 8–9% interest. Investment is safe as DICGC insurance is available up to Rs 5 lakh. NBFC FDs offer higher interest, but the risk is also higher.

SBI FD RATES: After the Reserve Bank of India (RBI) recently cut the repo rate for the second consecutive time, banks have started reducing the interest rates on fixed deposits (FDs). This move has been taken with the aim of controlling inflation and making loans cheaper, but it has come as a shock to those investors who avoid risk and are looking for safe and assured returns.

However, there is still a ray of hope in the current scenario - Small Finance Banks. These banks are still offering attractive interest rates on FDs, making them an excellent option for investors looking for safe and better returns.

Interest rates on FD in Small Finance Banks

Bank Name Interest Rate (per annum)

Ujjivan Small Finance Bank 8.25% to 8.75%
Jana Small Finance Bank 7.55% to 8.65%
Equitas Small Finance Bank 8.05% to 8.55%
AU Small Finance Bank 7.95% to 8.10%
Suryoday Small Finance Bank 8.75% to 9.10%
Utkarsh Small Finance Bank 8.50% to 9.10%

Senior citizens also get the benefit of additional interest in these banks, due to which the return can reach up to 9.5%.

Security in FD: How safe is Small Finance Bank?

Small Finance Banks also work under RBI and their FDs also come under the purview of DICGC insurance. This means that every investor gets protection of up to Rs 5 lakh per bank.

Therefore, if you invest smartly – that is, divide the amount of more than Rs 5 lakh into different SFBs and make FDs – then the risk can be reduced to a great extent.

FD in NBFC: Higher returns but higher risk

FDs in non-banking financial companies give 1-2% more interest than normal banks. However, DICGC insurance protection is not available on these. This means that in case the NBFC collapses, there is no guarantee of the safety of your investment.

If you can take more risk and want to get better returns through FD, then NBFC or corporate deposits can be an option, but it is important to check their credit rating and market position thoroughly before investing.