FD or term deposit is preferred mostly by investors who do not want to take risk with their hard earned money. The main reason is that fixed deposit offers guaranteed returns which are higher than the interest received on savings account. That is FD safeguards investor’s money. Moreover the tenure for FD is very flexible ranging from minimum 7 days to maximum of 10 years for most of the banks in India. Although the interest offered is low compared to other types of zero risk investments. There are multiple prerequisites for opening a fixed deposit account such as:

• Depositor needs to have an account with the same bank in which he/she wants to open the account.
• Applicant should be minimum 18 years old.
• Another important criteria is the minimum deposit amount required to open the account.

Check out FD maturity value for 5 years and 6 months. Here’s the table showing minimum amount required for fixed deposit account by 25 banks in India along with the interest rate offered:

Name of Bank	Minimum Amount (Rs.)	Interest Rate	Minimum Tenure	Maximum Tenure
State Bank of India	1000	3.75%-4.25%	7 Days	10 Years
IDBI Bank	10000	4.25%-6.9%	15 Days	20 Years
ICICI Bank	10000	4%-7.5%	7 Days	10 Years
HDFC Bank	5000	3.5% to 6%	7 Days	10 Years
Axis Bank	10000	3.5% to 6.75%	7 Days	10 Years
Andhra Bank	100000	4%-7.5%	7 Days	10 Years
Union Bank of India	1000	5%-6.8%	7 Days	10 Years
Bank of India	10000	4%-6.7%	7 Days	10 Years
HSBC Bank India	10000	3.15%-5%	7 Days	6 Years
Kotak Bank	10000	3.5% to 6%	7 Days	10 Years
Punjab and Sind Bank	1000	4%-7%	7 Days	10 Years
Deutsche Bank	20000	8% for 5 Years	7 Days	5 Years
Canara Bank	1000	4.20%-6.9%	7 Days	10 Years
Syndicate Bank	1000	4.75%-6.7%	15 Days	10 Years
Indian Bank	100	4%-6%	7 Days	10 Years
Citi Bank India	1000	3%-5.75%	7 Days	10 Years
Indian Overseas Bank	1000	4%-6%	6 Months	10 Years
Royal Bank of Scotland	NA	3%-4.25%	15 Days	5 Years
YES Bank	10000	5.75%-7.10%	7 Days	10 Years
IDFC Bank	10000	4%-7.20%	7 Days	10 Years
Federal Bank	1000	3.5% to 6.5%	7 Days	10 Years
DBS Bank India	10000	4%-6.7%	7 Days	5 Years & above
Bank of Baroda	1000	4.5%-6.5%	7 Days	10 Years
RBL Bank	10000	5%-8.15%	7 Days	10 Years
Punjab National Bank	1000	4.25%-6.7%	7 Days	10 Years

FD is best recommended for investors who want protection plus returns from their investments. It is avoided by high risk takers mainly due to low returns and money being locked; which is not the case with high risk-high return investments such as equities and mutual funds.

Author Bio:

Hi, I am Nikesh Mehta owner and writer of this site.

I’m an analytics professional and also love writing on finance and related industry. I’ve done online course in Financial Markets and Investment Strategy from Indian School of Business.

I can be reached at nikeshmehta@allonmoney.com. You may also visit my LinkedIn profile.