For anyone in India seeking a safe and secure investment, fixed deposits (FDs) remain a popular option. They are simple to open and provide a fixed rate of return, making them ideal for risk-averse investors. A key factor to check before investing is the interest rate, as it helps determine the steady income you can earn. In this article, we focus on the monthly interest possible on a Rs. 35 lakh fixed deposit.
Fixed deposits are available through banks and financial institutions with tenures ranging from 7 days to 10 years. Interest rates on fixed deposits are generally higher than those offered by regular savings accounts, which makes them attractive for investors willing to lock in their money for a fixed duration. Since rates vary across banks, it’s important to compare options carefully before choosing where to invest.
Benefit of getting monthly interest on your investment
- Regular Income: Monthly interest provides a consistent income stream. This helps in budgeting and meeting regular expenses.
- Liquidity: Monthly pay-outs increase liquidity, allowing you to access funds more frequently for unforeseen expenses or investment opportunities.
- Risk Mitigation: Regular pay-outs provide a hedge against interest rate fluctuations, offering stability compared to long-term, fixed maturity investments.
- Financial Flexibility: Monthly returns provide flexibility for short-term financial goals or emergencies, giving you more control over your finances.
