What monthly interest can be generated from a Rs. 5 lakh fixed deposit?
Fixed deposits (FDs) stand as secure investments with minimal risk, often the first choice for those prioritising capital safety. FDs offer predetermined and fixed interest rates for the entire tenure, presenting a comparatively higher return.
Bajaj Finance further enhances flexibility by offering periodic interest payouts through the non-cumulative FD plan. Investors can choose from monthly, quarterly, half-yearly, or annual interest payouts based on their liquidity needs.
Investing Rs. 5 lakh in an FD with Bajaj Finance for five years can result in a relatively higher interest rate. Tailoring the investment duration from 12 to 60 months allows investors to align FDs with their short-term or long-term financial goals.
The following table shows the FD interest rates offered by Bajaj Finance on an FD of Rs. 5 lakh for a tenure of 60 months:
Payout frequency
|
FD rates (Customers below the age of 60)
|
FD rates (Senior Citizens)
|
Monthly
|
6.74% p.a.
|
7.07% p.a.
|
Quarterly
|
6.78% p.a.
|
7.11% p.a.
|
Half-yearly
|
6.83% p.a.
|
7.17% p.a.
|
Annual
|
6.95% p.a.
|
7.30% p.a.
|
At Maturity
|
6.95% p.a.
|
7.30% p.a.
|
Following are the calculation of interest earnings for Rs. 5 lakh fixed deposit if the payout frequency is “monthly”, for customers below the age of 60 and senior citizens.
Customers below the age of 60 investing in an FD:
Deposit Amount
|
Tenure
|
Interest rate (Payout frequency: Monthly)
|
Total Interest (Rs.)
|
Maturity Amount (Rs.)
|
Rs. 5 lakh
|
12 months
|
6.41% p.a.
|
32,050
|
5,32,050
|
Rs. 5 lakh
|
24 months
|
7.53% p.a.
|
67,400
|
5,67,400
|
Rs. 5 lakh
|
36 months
|
6.74% p.a.
|
1,01,151
|
6,01,151
|
Rs. 5 lakh
|
60 months
|
6.74% p.a.
|
1,68,500
|
6,68,500
|
*All calculations are done using the Bajaj Finance FD Calculator
Senior citizens investing in an FD:
Deposit Amount
|
Tenure
|
Interest rate (Payout frequency: Monthly)
|
Total Interest (Rs.)
|
Maturity Amount (Rs.)
|
Rs. 5 lakh
|
12 months
|
6.74% p.a.
|
33,700
|
5,33,700
|
Rs. 5 lakh
|
24 months
|
7.91% p.a.
|
70,700
|
5,70,700
|
Rs. 5 lakh
|
36 months
|
7.07% p.a
|
1,06,104
|
6,06,104
|
Rs. 5 lakh
|
60 months
|
7.07% p.a.
|
1,76,750
|
6,76,750
|
*All calculations are done using the Bajaj Finance FD Calculator
- Senior citizens enjoy a higher interest rate on a Rs. 5 lakh fixed deposit compared to customers below the age of 60, thanks to an additional interest rate benefit provided by Bajaj Finance.
- Opting for a non-cumulative Bajaj Finance FD allows you to earn fixed monthly interest on a Rs. 5 lakh deposit. This differs from the cumulative FD option, which provides a lump sum amount at the maturity date instead of periodic payouts such as monthly, quarterly, half-yearly, or yearly.
Senior citizens earn more with every deposit. Bajaj Finance offers additional interest of up to 0.35% p.a. exclusively for them. Check latest FD rates.
Also read: What is NBFC FD rates
TDS on a Fixed Deposit of Rs. 5 lakhs
Be aware of tax implications on your FD interest:
- Regular Citizens: 10% TDS if interest > Rs. 50,000 annually.
- Senior Citizens: TDS applies only if interest > Rs. 1 lakh annually.
- Without PAN: TDS is deducted at 20%.
Interest calculation tools
Use the Bajaj Finance FD Calculator for quick and accurate interest estimates. Just enter:
- Amount
- Tenure
- Interest payout frequency
Want clarity before you invest? Use the FD calculator to plan returns on your Rs. 5 lakh investment in seconds. Once you are clear, start investing.
Penalty for withdrawing a FD of Rs. 5 lakh before maturity
Time Since Deposit
|
Withdrawal
|
Interest Payable
|
Penalty
|
0–3 months
|
Not allowed (except emergencies)
|
None
|
N/A
|
3–6 months
|
Allowed
|
None
|
N/A
|
After 6 months
|
Allowed
|
Applicable rate – 2%
|
2% cut
|
Who can open an FD with Bajaj Finance?
- Eligibility: Indian residents, NRIs, individuals, minors, senior citizens, HUFs, firms, societies, trusts.
- Documents: PAN + any KYC document (Aadhaar, Voter ID, Passport, etc.)
Invest with ease. Bajaj Finance offers a 100% online FD booking journey, complete with digital KYC and instant confirmations. Book an FD now.
Why should you invest Rs. 5 lakh in an FD?
Investing Rs. 5 lakh in a Fixed Deposit (FD) is a smart choice offering many benefits. FDs are safe and stable, ensuring your investment stays secure. With guaranteed returns at a fixed interest rate, FDs provide a steady and predictable income, making them ideal for risk-averse investors.
Opting for a non-cumulative FD allows you to receive regular interest payouts, providing a consistent monthly income. FDs offer flexibility with diverse tenure options, allowing you to align your investment with specific financial goals. The process to invest in FD is simple as many financial institutions now provides easy online investment option.
Here is the eligibility criteria and documents required for opening a Rs. 5 lakh FD
Anyone can book our fixed deposit if they meet the basic criteria mentioned below.
- Nationality: Resident Indians / Non-Resident Indians
- Investor Type: Individuals, Senior Citizens, Minors, Sole Proprietorships, Partnership Firms, HUFs, Clubs, Associations, Societies, and Family Trusts
- Documents Required: PAN and any KYC document: Aadhaar card/Passport/Driving license/Voter ID
*Documents can also be fetched from registered KYC.
You can update KYC Via CKYC, OKYC & Digi locker
Non-Resident Indians (NRIs), Persons of Indian Origin (PIO) and Overseas Citizens of India (OCI) can connect with our representative or write to us on wecare@bajajfinserv.in.
Here is how to invest in a Bajaj Finance Fixed Deposit
- Click on ‘Open FD’ at the top of this page to open our online application form.
- Enter your 10-digit mobile number and verify the OTP sent to your phone.
- Fill in the investment amount, choose the investment tenure and the payout frequency. Enter your PAN card and date of birth.
- Complete your KYC: If you are an existing customer, confirm the details available with us, or edit to make any changes. For new customers, complete your KYC using Aadhaar Card.
- A declaration will be displayed. Please read it carefully and agree to the terms and conditions. Enter your bank details and proceed to pay.
- Complete your investment using Net Banking/ UPI or NEFT/ RTGS.
Once your fixed deposit is booked, you will receive the Fixed Deposit Acknowledgement (FDA) on your registered email address and as a link on your mobile number. An Electronic Fixed Deposit Receipt (e-FDR) will also be sent to your email ID within 3 working days (subject to documents being in the correct order).
Conclusion
A Rs. 5 lakh FD with Bajaj Finance is more than just a safe investment—it’s a smart strategy to earn monthly income while preserving your capital. Whether you're planning for retirement, regular expenses, or long-term goals, FDs provide peace of mind and steady returns.
Start today and let your Rs. 5 lakh work harder for you.
Calculate your expected investment returns with the help of our investment calculators