Monthly Interest on 60 Lakh Fixed Deposit
Updated on: Nov 8th, 2023 | 6 min read
If you've saved up a good amount of money but it's just sitting there, not earning much, you might want to consider putting it in a fixed deposit. By investing around ₹60 lakhs, you can potentially get some good returns over time. What's great is that you can even get your interest paid to you every month. Check out the interest rates from different banks and NBFCs on this page to get started!
Monthly Interest for 60 Lakhs in FD 2023
|Interest rate||60 Lakh FD interest monthly (₹)||Interest rate||60 Lakh FD interest monthly|
|Public Sector Bank|
|Punjab National Bank||7.25%||36,250/-||7.75%||38,750/-|
|Indian Overseas Bank||7.25%||36,250/-||7.75%||38,750/-|
|State Bank of India||7.10%||35,500/-||7.60%||38,000/-|
|Union Bank of India||6.70%||33,500/-||6.95%||34,750/-|
|Private Sector Bank|
|Bajaj Finserv Limited||8.05%||40,250/-||8.28%||41,400/-|
|PNB Housing Finance Limited (Non-cumulative option)||7.58%||37,900/-||7.88%||39,400/-|
|Mahindra Finance Limited (Non-cumulative option)||7.50%||37,500/-||7.75%||38,750/-|
|LIC Housing Finance||7.25%||36,250/-||7.50%||37,500/-|
|Small Finance Bank|
|Unity Small Finance Bank||9.00%||45,000/-||9.50%||47,500/-|
|Suryoday Small Finance Bank||8.60%||43,000/-||9.10%||45,500/-|
|Fincare Small Finance Bank||8.51%||42,550/-||9.11%||45,550/-|
|Ujjivan Small Finance Bank||8.25%||41,250/-||8.75%||43,750/-|
|AU Small Finance Bank||8.00%||40,000/-||8.50%||42,500/-|
*The interest is calculated using the Simple Interest formula
Interest on FD= Amount invested x Interest rate x (Duration/12 months)
Calculating Monthly Interest on a ₹ 60 Lakh FD - Alternate Method
To calculate interest for cumulative FDs, you can use the following formula:
A = P (1 + R/N)^(N*T)
A – Maturity amount
P – Deposited amount
R – Interest rate
N – Compounding frequency
T – Deposit term
For instance, if you deposit ₹ 60,00,000 for one year at a 6% interest rate compounded quarterly:
A = ₹ 63,68,181/-
To find the annual interest, subtract the maturity amount from the deposited sum:
Annual interest = ₹ 3,68,181/-
For monthly interest, divide the annual interest by 12:
Monthly interest = 30,682/-
Eligibility Criteria for FD
Following are the people eligible for FD
- Resident Indian
- Overseas Citizen of India or Person of Indian Origins
- Partnership firms
- Family Trusts
- Companies, associations, clubs and societies
- NRIs 18 years or above
Documents required for FD
Following are the documents that are required to open FD:
- A completed account opening application form.\
- A valid ID proof, which can include: an Aadhaar card, PAN card, Voter's ID card, Passport, Driving licence,
- Government-issued identity card, Photo ration card, or Any other official document with your photograph.
- A valid address proof, which can include: an Aadhaar card, Passport, Voter's ID card, Driving licence, Utility bills like phone or gas bills, Rent agreement, Property deed etc.
Can I withdraw the interest amount monthly or does it accumulate?
Investors can choose any of the options as both options are available. They can either withdraw the interest monthly or accumulate it with a principal amount.
How to open 60 lakh FD in any financial institution?
One can either go for an online or offline method to open an FD account in any financial institution. You just have to complete the paperwork or complete the procedure of KYC for the same.
Is interest earned on 60 lakh FD interest taxable?
Yes, any interest above ₹ 40,000/- and ₹ 50,000/- in the case of a senior citizen is taxable at @10% and if PAN is not provided then it is taxable at @20%.
Is it safe to invest 60 Lakh FD in a bank?
DICGC provides insurance of ₹ 5,00,000/- per person per bank so one should always do their homework and research before investing such a big amount in one place. Also, it's not advisable to put all your investments in one place as lots of risk is involved in the same.
returns on FD