About Fixed Deposit Investment

Loanpao’s fixed deposit (FD) options offer guaranteed returns of 5–8% p.a., capital safety, and flexible tenures (7 days to 10 years). FDs are ideal for risk-averse investors in India, providing predictable income through trusted banks and NBFCs.

Why Choose Fixed Deposits?

  • Guaranteed Returns: Fixed interest rates of 5–8% p.a.
  • Capital Safety: Insured up to ₹5 lakh by DICGC
  • Flexible Tenures: From 7 days to 10 years
  • Regular Income: Option for monthly/quarterly interest payouts
  • Loan Facility: Avail loans up to 90% of FD value
  • Senior Citizen Benefits: Higher rates (0.25–0.5% extra)
  • Accessibility: Minimum investment of ₹10,000

Are You Eligible?

Criteria Requirement
Applicant Type Indian residents, NRIs, HUFs, trusts, firms
Age 18+ (minors via guardians)
KYC Compliance Mandatory for account opening
Investment Minimum ₹10,000 (varies by bank)

What Documents Do You Need?

  • KYC: Aadhaar, PAN, or passport
  • Address Proof: Utility bill or rental agreement
  • Bank Details: Savings account for interest credit
  • Photograph: Passport-size
  • Nomination Form: Optional, for beneficiary

Indicative Returns

Investment (₹) Tenure Interest Rate Maturity Value (₹)
1,00,000 5 years 6% p.a. ~1,33,800
1,00,000 5 years 7% p.a. ~1,40,300
5,00,000 7 years 6.5% p.a. ~7,56,600

Extra Charges:

  • Premature Withdrawal Penalty: 0.5–1% lower interest rate
  • TDS: 10% on interest above ₹40,000 p.a. (₹50,000 for seniors)

Note: Returns are illustrative, based on quarterly compounding. Actual rates vary by bank/NBFC and tenure.

Calculate Your FD Returns

Enter details to see estimated returns.

How to Invest in Fixed Deposits

  • Visit loanpao.in or banks/NBFCs (e.g., SBI, HDFC, Bajaj Finance).
  • Choose FD type: Regular, senior citizen, or tax-saver.
  • Complete KYC and open an FD account.
  • Select tenure (7 days to 10 years) and payout option (monthly, maturity).
  • Deposit funds via bank account or cheque.
  • Receive FD receipt or certificate.
  • Renew or withdraw on maturity via bank or online portal.

Common Questions About Fixed Deposits

What is a fixed deposit?
A fixed deposit is a financial instrument where you invest a lump sum for a fixed tenure at a guaranteed interest rate.
Are FD returns guaranteed?
Yes, FD returns are fixed and guaranteed, unaffected by market fluctuations, up to ₹5 lakh (DICGC insured).
What is the minimum investment?
₹10,000 for most banks; some NBFCs allow ₹5,000.
Can NRIs invest in FDs?
Yes, NRIs can invest in NRO/NRE FDs via NRE/NRO accounts, with TDS applicable.
What are the tax implications?
Interest is taxable as per income slab; TDS at 10% if interest exceeds ₹40,000 p.a. (₹50,000 for seniors).
What are the risks?
Minimal risk due to DICGC insurance; premature withdrawal penalties and inflation risk may reduce real returns.
Can I break an FD early?
Yes, but banks charge a penalty (0.5–1% lower rate), and interest is paid for the completed tenure.