Post Office Fixed Deposit Interest Rates

Post Office Fixed Deposit Rates 2021

Fixed Deposit is one of the safest investment avenues offered by banks, Non-Banking Financial Companies (NBFCs) and post offices. Post Office Fixed Deposit, also known as Post Office Term Deposits, are investment instruments offered by the Indian Postal Services. It is a preferred investment option for those looking for a safe investment avenue, these post office FDs are backed by the sovereign guarantee of the Government of India.

Features Table of Post Office Fixed Deposit

Particulars	Details
Tenure	1, 2, 3 and 5 years
Minimum Deposit Amount	Rs. 1,000
Interest Rates	5.5% – 6.7%
Interest Payment	Annually
Mode of Payment	Cash/Cheque
Premature Withdrawal	Allowed after 6 months*
Nomination Facility	Available

*If account is closed between 6 to 12 months from the date of opening, then Post Office Savings A/c rates will be applicable.

Post Office FD Interest Rate:

Post Office Fixed Deposit interest rates are decided by the Government of India (every quarter) under Small Saving Schemes. These rates are in turn determined as per the performance of government securities and bills. Post Office Fixed Deposit with a tenor of 5 years has an interest rate mark-up of 25 bps over the yield of comparable government securities.

Tenor (years)	Post Office FD Interest Rates
1 year	5.5%
2 years	5.5%
3 years	5.5%
5 years	6.7%

Here’s a comparison of latest FD interest rates offered by post offices, with FD rates offered by Bajaj Finance Limited.

Tenor (years)	Post Office FD Interest Rates	Bajaj Finance FD Interest Rates
1 year	5.5%	5.65%
2 year	5.5%	6.10%
3 year	5.5%	6.50%
5 year	5.7%	6.50%

Bajaj Finance offers additional 0.10% higher FD interest rates on investing in an end-to-end online FD for non-senior citizens. This rate benefit is not applicable for senior citizens, as they can get 0.25% additional returns on their deposit.

Features and Benefits of Bajaj Finance Fixed Deposit

Interest Rate	Ranging from 5.65% to 6.75%
Minimum Tenor	1 Year
Maximum Tenor	5 Years
Deposit Amount	Minimum deposit of Rs. 25,000
Application Process	100% online process
Online Payment Options	Netbanking and UPI

Post Office Fixed Deposit vs Bajaj Finance Fixed Deposit

While you can think of redirecting the interest earned from Post Office FD into various other post office schemes, you should also consider alternative options such as high-yielding company FDs offering a similar guarantee with zero to low risk.

Even though post office FD may offer a higher interest rate as compared to bank FD, it cannot match the interest rate offered by Company FDs. You can ensure maximum returns with company FDs which are guaranteed by well-financed and liquid companies like Bajaj Finance. Let us see how you can benefit even further with a Bajaj Finance FD.

Investment rate – Bajaj Finance FD offers higher interest rates up to 6.75% which is higher than any other fixed-income option given the current state of the economy. A post office FD will allow a maximum of 5.7% and this can get further reduced if the G-sec yield falls.
Flexibility – Bajaj Finance FD offers flexible terms for premature withdrawal (as compared to Post Office FD). It also provides an option to avail loan against FD at a marginal interest rate.
Ease of access – While a post office FD may not offer you many online features, you can easily invest in a Bajaj Finance online FD that enables you to reap the benefit of an end-to-end online paperless procedure. Additional features of doorstep document pickup, multi-deposit and auto-renewal make it even more convenient. You can open a Bajaj Finance online FD account by just using a debit card at a few locations.

Bajaj Finance also accepts deposits from NRIs, and is rated high on the safety and stability ranking, which makes it one of the best investment options for those with lower risk appetite. To help you compare the features of Post Office Fixed Deposit and Bajaj Finance Fixed Deposit, here’s a table detailing the differences between the two:

FEATURE	POST OFFICE FD	BAJAJ FINANCE FD
High-Interest Rate	No	Yes
Quarterly Interest Rate Revision	Yes	No
Flexible Premature Withdrawal	No	Yes
Online Account Management	No	Yes
Multi-deposit Facility	No	Yes
Auto-Renewal Facility	Only at CBS-enabled branches	Yes
NRI FD	No	Yes

With 2.35 lakh customers and a total deposit book size of more than 20,000+ crores, you can trust Bajaj Finance FD to give you maximum returns with the lowest risk.

Invest Now

Calculate Returns

Check FD Interest Rate

Quick Links

Fixed Deposit for Senior Citizen

FD vs RD

What is FD

Earn UP TO 6.75%* on Fixed Deposit