Download the Policybazaar app
to manage all your insurance needs.
Monthly Interest for 1 Lakh Fixed Deposit
A large section of the Indian population favors fixed deposits as an investment instrument to park funds for financial emergencies and future goals. All financial institutions, especially banks, NBFCs, and post offices, offer a range of fixed deposit products to suit your personal preferences. Your fixed deposits ensure money growth through interest applied to the principal.
Returns as high
as 7.1%*
Includes life cover
Completely Tax free+
as 7.1%*
Includes life cover
Completely Tax free+
Maximum returns Offered by
Guaranteed
Highest
7.1%*
Guaranteed Plan
(by insurance companies)
(10 Years)
6.5%**
Fixed Deposits
(by SBI bank)
(5-10 Years)
7.1%***
Public Provident Fund
(other popular options)
(15 Years)
Get Guaranteed returns up to 7.1%*
Fully Tax-Free* (unlike FD), Life Cover Included
-
Home
-
FD Interest Rates
-
Articles - FD Rates
- Monthly Interest for 1 Lakh Fixed Deposit
Monthly Interest for 1 Lakh FD Illustration
If you have Rs 1 lakh and want to invest in a fixed deposit, your monthly interest earned on it will look like the following illustration.
Interest rate range: 2.50% to 8.50%
| FD Amount (Rs) | Amount | 1 Lakh Interest For 1 Year |
| 1 Lakh | INR 208.33 | 2.50% |
| 1 Lakh | INR 250 | 3.00% |
| 1 Lakh | INR 291.66 | 3.50% |
| 1 Lakh | INR 333.33 | 4.00% |
| 1 Lakh | INR 375 | 4.50% |
| 1 Lakh | INR 416.66 | 5.00% |
| 1 Lakh | INR 458.33 | 5.50% |
| 1 Lakh | INR 500 | 6.00% |
| 1 Lakh | INR 541.66 | 6.50% |
| 1 Lakh | INR 583.33 | 7.00% |
| 1 Lakh | INR 625 | 7.50% |
| 1 Lakh | INR 666.66 | 8.00% |
| 1 lakh | INR 708.33 | 8:50% |
Information About
Guaranteed Return Plans
Returns Before Tax
7.1% (TAX-FREE)
Returns After Tax
7.1%
Guaranteed Returns
Yes
Life Cover
Yes
Tax on Profit
Tax Free*
Risk
No Risk
Fixed Deposits
Returns Before Tax
7% (TAXABLE)
Returns After Tax
4.8%
Guaranteed Returns
Yes
Life Cover
No
Tax on Profit
Taxable
Risk
Low Risk
Debt Mutual Fund
Returns Before Tax
8% (TAXABLE)
Returns After Tax
5.5%
Guaranteed Returns
No
Life Cover
No
Tax on Profit
Taxable
Risk
High Risk
*For annual premium upto ₹5 Lacs
Interest Rates for Rs1 Lakh Fixed Deposit
Every bank offers attractive interest rates that determine your return on investment. The non-cumulative Fixed Deposit particularly suits those who depend on interest income such as retired individuals or senior citizens. You must calculate the monthly interest on Rs 1 Lakh as a benchmark for planning the investment amount to match certain needs.
Points to Remember:
-
The interest rates in the grid are applied to domestic and NRO term deposits.
-
Non-cumulative fixed deposits and those with tenors under 90 days are deprived of the compounding benefit.
-
Individual investors must confirm interest rates with their respective banks.
-
NBFCs and post offices usually offer higher interest rates than banks.
-
Senior Citizens (60 years and above) get extra 0.25% to 0.50% over the regular citizen interest rates for tenors greater than 6 months.
NBFCs Interest Rates for INR 1 lakh FD
The following table represents the monthly interest along with the maturity amount for five years tenor:
| NBFC | Interest Rates (%) | Monthly Interest Amount (INR) | Maturity Amount (INR) |
| PNB Housing Finance | 7.65% | 618 | 1,34,567 |
| Mahindra Finance | 7.75% | 604 | 1,45,240 |
| Bajaj Finance Ltd | 7.85% | 632 | 1,45,915 |
What Are the Types of Fixed Deposits?
Fixed Deposit is an investment vehicle that parks your investible funds to help them grow through the accrued interest. The FD interest rate is generally higher compared to savings accounts. It covers a comprehensive product range depending on the interest payout. Fixed deposit is also known as Term Deposit.
It is broadly classified as:
-
Non-cumulative FD: The interest accrued on your fixed or term deposit is paid out in your chosen frequency. Usually, it is either monthly or quarterly in case you choose tenors over 12 months. Thus, your principal investment remains untouched at maturity.
-
Cumulative FD: The interest accrued in fixed deposits under this category is not paid but added to the principal. The compounded amount accrued is paid at maturity. In addition, banks typically apply quarterly compounding that helps your money grow.
How To Calculate Interest on Rs 1 Lakh Fixed Deposit?
The online FD calculator helps you calculate the interest for non-cumulative and cumulative fixed deposits. You can also use the following formula to calculate interest on your Rs 1 lakh FD.
A = P (1+r/n) ^ (nt)
Where:
-
A - maturity amount
-
P - principal (investment amount)
-
r - interest rate
-
n - compounding frequency
-
t - year tenor
FD interest rates India have fallen consistently over the last 12 years.
How To Use Calculator for Monthly Interest on Rs1 Lakh Fixed Deposit?
A calculator is an online tool for you to know the maturity amount and the interest earned over an FD’s tenure.
Enter the following information to proceed with calculation:
-
Investment amount (Principal)
-
Tenure
-
Interest rate
The results show the following:
-
Principal
-
Maturity value
-
Monthly/quarterly/total interest earned
In Conclusion
Fixed deposits continue to be a safe investment option in India with their easy availability in different tenors in all financial institutions. While calculating the monthly interest for Rs.1 Lakh fixed deposit is the benchmark here, it is also an input for future financial planning. Therefore, you must weigh your investment options to fulfill your financial goals effectively.
Bank FD Interest Rates
Bank FD Calculator
NRI-NRE FD Rates
Allahabad Bank FD Rates
Andhara Bank FD Rates
Assam Gramin Vikash Bank FD Rates
AU Small Finance Bank FD Rates
Axis Bank FD Rates
Bajaj Finance FD Rates
Bandhan Bank FD Rates
Bangiya Gramin Vikash Bank FD Rates
Bank of Baroda FD Rates
Bank of Ceylon FD Rates
Bank of Maharashtra FD Rates
Baroda Gujarat Gramin Bank FD Interest Rates
Expand
Allahabad Bank FD Calculator
Andhra Bank FD Calculator
AU Bank FD Calculator
Axis Bank FD Calculator
Bajaj Finance FD Calculator
Bandhan Bank FD Calculator
Bank of Baroda FD Calculator
Bank of India FD Calculator
Bank of Maharashtra FD Calculator
Canara Bank FD Calculator
Central Bank FD Calculator
Corporation Bank FD Calculator
Expand
FAQs
-
What is the impact if you do not withdraw the fixed Deposit after maturity?
In the present scenario, your fixed Deposit is automatically renewed on maturity until otherwise instructed by you. -
Do you have to withdraw the interest payout in the fixed Deposit physically?
The interest payout is credited to your operative savings account for withdrawal at your convenience. -
What is the tax impact on the interest earned by you in Rs.1 Lakh fixed Deposit?
Your interest earning attracts income tax at your applicable slab rate if your annual interest earning exceeds Rs.50000 for senior citizens and Rs.40000 for others. -
Is TDS applicable on your fixed deposit interest?
A TDS of 10% of your interest income is recovered after you cross the threshold for an exemption or you have not submitted Forms 15G and 15H, as the case may be. -
Does any change in the interest card rate affect your fixed deposit interest?
The fixed deposit interest remains constant throughout its tenor until maturity, and any change is reflected only upon its renewal. -
What are the fixed deposit interest rates of some popular banks in India?
Bank Rate of Interest (%) Punjab National Bank 3.50 to 6.50 % SBI 3 to 6.50 % HDFC Bank 3 to 7.00 % Bank of India 3 to 6.00 % Axis Bank 3.50 to 7.00 % -
What are the types of FDs in India?
You can invest in the following types of FDs in India:- Standard FD
- Tax Saving FD
- Corporate FD
- Special FD
- Flexi FD
- Senior Citizen FD
- Regular FD
*All savings are provided by the insurer as per the IRDAI approved
insurance plan. Standard T&C Apply
+ Trad plans with a premium above 5 lakhs would be taxed as per
applicable tax slabs post 31st march 2023
#Discount offered by insurance company
++Source - Google Review Rating available on:- http://bit.ly/3J20bXZ
˜Top 5 plans based on annualized premium, for bookings made in the first 6 months of FY 24-25. Policybazaar does not endorse, rate or recommend any particular insurer or insurance product offered by any insurer. This list of plans listed here comprise of insurance products offered by all the insurance partners of Policybazaar. For a complete list of insurers in India refer to the Insurance Regulatory and Development Authority of India website, www.irdai.gov.in
FD Calculator
Interest Earned
Maturity AmountFD Rates articles
Recent Articles
Popular Articles
11 Jul 2025
Bank of Maharashtra senior citizen FD rates are 0.50% higher
11 Jul 2025
Jammu & Kashmir Bank senior citizen FD rates are 0.50%
09 Jul 2025
If you're considering a higher return and secure investment
08 Jul 2025
The Fixed Deposits or FDs of Banks are one of the most popular
08 Jul 2025
HDFC Bank FD premature withdrawal charges are typically 1%