Fixed deposits have seen to grow up to 9.3% in the last quarter of December 2018 owing to which the financial institutions and NBFCs are set to increase the fixed deposit interest rate to pull in more investors. Along with the highest interest rates on FD in India 2019 investors also get to enjoy flexible investment tenor of 12 to 60 months and a minimum deposit amount of Rs. 25,000.
To get a higher interest rate you will have to meet its eligibility criteria and submit specific documents. Individuals belonging to the family trust, or partnership firms, sole proprietorships, group companies, or Hindu Undivided Family or HUF, or societies, clubs or associations, or Indian residents can apply for a fixed deposit. Individuals from the mentioned groups are required to submit their KYC documents such as PAN, Aadhaar Card, etc.
Besides, the funds are regulated by CRISIL and ICRA, which ensures the safety of your funds. As fixed deposits do not depend on the variable market individuals can enjoy substantial returns on fixed deposits.
If the amount you earn as interest is more than Rs. 10,000 and the tenor are below or above five years your financial institution and NBFC will deduct TDS. You can claim tax deductions by submitting form 15G or 15H at the end of each financial year.