The best option for investments for people who are risk averse is the recurring deposits. In an RD scheme, investors are required to make deposits of a fixed amount every month for a fixed tenure. Recurring deposits can help people in earning more money through better and safe returns.
How is the interest rate on the recurring deposit calculated?
The rate of interest on a recurring deposit is calculated based on many parameters like the money that is deposited each month, the tenure chosen by you. The interest rates for the RD is the highest for a tenure of 15 to 24 months. The higher interest rates are offered for senior citizen and women. You can also use the online Recurring deposit Interest Rate calculator to find out the interest rate that you will be accumulating for a specific principal and tenure.
Highest RD Interest Rates
Here's a list of some of the banks which provide the highest interest on the Recurring Deposit schemes:
What are the Best Recurring schemes in India?
Here is a list of banks that provide the most attractive interest rates on the Recurring Deposits
This bank offers an interest rate of 6.5%-6.6% for the tenure of 180 days to 2 years for Recurring Deposits
ICICI has a very flexible RD scheme known as the iFlexi RD Plan. The customer will incur no penalties for his/her delayed payments and the maximum interest rate offered for the iFlexi RD is 7.10% with an option for tenure period ranging from 13 months-24 months
This bank offers a maximum interest rate of 7% on the Recurring Deposits and the tenure varies from 12-120 months. The minimum amount that can be invested in the HDFC RD Scheme is 1000
J&K Bank provides an attractive interest rate of 6.75% to its customers for the tenure of 1-4 years for RD schemes. The bank offers an interest of 6.75% for five years and above.
The RD Schemes of Axis Bank gives the customer an interest rate of 7% for a tenure of 1-2 years. The minimum amount that must be deposited by the customer for Axis Bank RD Scheme is 1000 rupees
What are the Interest Rates Offered by Banks for Recurring Deposits?
Here is the list of the interest rates that are offered by different banks for the recurring deposit schemes. The interest rates for RD below have been grouped under the bank and tenure for which the interest rate is applicable. These interest rates fluctuate very frequently, if you wish to open a Recurring Deposit Account, then you must cross-check the interest rates offered by the bank.