6 Best Places To Save Money And Earn Interest

Discover top spots to stash cash and grow it. Find the best places to save and earn lucrative interest rates.
Best Places To Save Money And Earn Interest
3 min
31-October-2025

Saving money is the foundation of every sound financial plan. But to make your money work for you, it’s not just about saving — it’s about saving smart. By choosing the right savings plans, you can grow your wealth steadily while keeping your risk in check.

In India, you can pick from a wide range of saving and investment options that offer safety, liquidity, and attractive returns — perfect for both short- and long-term goals.

Multiply your savings securely with a Bajaj Finance Fixed Deposit, offering up to 7.30% p.a. returns for senior citizens and up to 6.95% p.a. for others. Open FD.

Where to put your savings

Before you decide where to invest your money, think about why you are saving and when you’ll need those funds.

If you are building an emergency fund, liquidity should be your priority — meaning you can easily access the money when required. But if you’re saving for long-term goals like your child’s education or your own retirement, you can opt for options that offer higher returns and slightly longer lock-in periods.

Planning for long-term goals?
Start with a Bajaj Finance FD — a stable, high-yield investment that helps your savings grow steadily. Invest now

Fixed Deposit

  1. Trusted by over 5 lakh customers
  2. Fixed Deposits worth more than Rs. 50,000 crore booked
  3. Rated CRISIL AAA/STABLE and [ICRA]AAA(STABLE)
  4. Up to 0.35% p.a. extra interest offered for senior citizens
  5. Flexible interest payout options available - Monthly, Quarterly, Half-yearly, Annually or at Maturity

By proceeding, you agree to our Terms and Conditions

Best places to save money

Here are some of the most popular and reliable savings options in India that can help you grow your idle funds over time:

1. High-yield savings account

A high-yield savings account is a step up from a regular one. While standard accounts earn between 2.7%–3% p.a., high-yield variants can offer up to 4.5% p.a. These are great for short-term parking of funds or maintaining liquidity for emergencies. Compare rates across banks to maximise your interest earnings.

2. Public Provident Fund (PPF)

The PPF is a trusted, government-backed savings option ideal for long-term wealth creation. You can start investing with as little as Rs. 500 a year, and as of April 2024, it offers an interest rate of 7.1% p.a. With a 15-year lock-in period and sovereign guarantee, it’s one of the safest investments for risk-averse savers.

Looking for stability and flexibility? Combine the security of PPF with the attractive returns of a Bajaj Finance Fixed Deposit to balance liquidity and growth. Check rates.

3. Fixed Deposits (FDs) and FD Ladders

Fixed Deposits remain one of India’s most preferred savings options, offering guaranteed, market-independent returns. You can lock in your funds for a fixed tenure and earn attractive interest rates. To balance liquidity and returns, consider creating an FD ladder — where multiple FDs mature at different times, ensuring regular access to funds.

Create your FD ladder today with Bajaj Finance FD, offering up to 7.30% p.a. interest. Enjoy flexibility with tenures ranging from 12 to 60 months. Book FD.

4. Post Office Monthly Income Scheme (POMIS)

POMIS offers a steady monthly income with minimal risk. Currently, it pays 7.40% interest (as of April 2024) and has a 5-year term. It’s a good option for retirees or those seeking consistent passive income. You can invest between Rs. 1,000 and Rs. 9 lakh depending on whether it’s a single or joint account.

5. National Savings Certificate (NSC)

NSC is a fixed-income, government-backed scheme ideal for conservative investors. With an interest rate of 7.7% p.a. (as of April 2024), compounded annually, it ensures steady growth. The minimum investment is Rs. 1,000, with a 5-year lock-in.

Looking for predictable growth without market risks? A Bajaj Finance Fixed Deposit offers a similar secure structure — but with higher returns and flexible tenure options. Open FD account.

6. Government Bonds

Government bonds are low-risk instruments that pay a fixed or floating interest rate until maturity. They’re backed by the Government of India, making them a safe choice. Depending on the bond type, tenures can vary from a year to several decades, making them suitable for both short- and long-term goals.

Bottom line

When it comes to saving, there’s no one-size-fits-all approach. The key is to balance safety, liquidity, and returns by diversifying across options like FDs, PPF, and bonds. Each serves a specific financial goal — from short-term needs to long-term wealth creation.

Strengthen your financial plan with a Bajaj Finance Fixed Deposit — offering high interest, guaranteed returns, and the peace of mind your savings deserve.

Start your FD journey today and watch your money grow confidently.

Calculate your expected investment returns with the help of our investment calculators

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EPF Calculator

RD Calculator

Frequently asked questions

Where do millionaires keep their money?

Millionaires follow a sound savings and investment strategy that incorporates the tenets of diversification and asset allocation. They ensure that each of their investments aligns with their goals. 

Should I save money or pay off debt?

Choosing between saving money and paying off debt depends on your financial situation. Ideally, you should try clearing high-interest debt first to avoid interest build ups, but also maintain a liquid emergency fund. 

Where is the best place to save money?

This depends on your investment goals, risk appetite, and investment horizon. If you prefer low-risk investment instruments, you can park your corpus in FDs or opt for RDs.

How do I open an FD online with Bajaj Finance?

Opening an FD online is simple — visit the Bajaj Finance website or app, fill out basic details, choose your tenure and deposit amount, and complete the KYC process digitally. You can start with just Rs. 15,000 and enjoy instant confirmation.

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Disclaimer

As regards deposit taking activity of Bajaj Finance Ltd (BFL), the viewers may refer to the advertisement in the Indian Express (Mumbai Edition) and Loksatta (Pune Edition) furnished in the application form for soliciting public deposits or refer https://www.bajajfinserv.in/fixed-deposit-archives
The company is having a valid Certificate of Registration dated March 5, 1998 issued by the Reserve Bank of India under section 45 IA of the Reserve Bank of India Act, 1934. However, the RBI does not accept any responsibility or guarantee about the present position as to the financial soundness of the company or for the correctness of any of the statements or representations made or opinions expressed by the company and for repayment of deposits/discharge of the liabilities by the company.

For the FD calculator the actual returns may vary slightly if the Fixed Deposit tenure includes a leap year.