HDFC Bank FD Return on Rs 3 Lakh, Know Interest, Calculation 

HDFC Bank FD: When it comes to investing, many individuals tend to favor bank fixed deposits (FDs) for their money. This preference is largely due to the security and guaranteed returns that these FDs provide. If you are someone who invests in FDs and depends on bank FDs for your investments, we have some important information for you today regarding FDs and the returns offered by HDFC Bank, which is the largest private bank in the country. Therefore, this information could be quite significant for you.

HDFC Bank FD

As the leading private bank in the country, HDFC Bank provides a variety of FDs with different tenures for its customers, with the following interest rates:

1 year – 6.25 percent

2 years – 6.45 percent

3 years – 6.45 percent

4 years – 6.50 percent

5 years – 6.40 percent

Additionally, HDFC Bank offers higher interest rates for senior citizens on these FDs, which are as follows:

1 year – 6.75 percent

2 years – 6.95 percent

3 years – 6.95 percent

4 years – 7 percent

5 years – 6.90 percent

Return on investment of Rs 3 lakh in HDFC Bank FD

If you choose to invest Rs 3 lakh in an HDFC Bank FD with a one-year duration, you will receive a total of Rs 3,19,194 at maturity. This indicates that you will earn a profit of Rs 19,194.

For a two-year term, investing Rs 3 lakh in an HDFC Bank FD will yield a total of Rs 3,40,956 at maturity, resulting in a profit of Rs 40,956.

If you invest Rs 3 lakh in an HDFC Bank FD for three years, you will receive Rs 3,63,485 upon maturity, which means a profit of Rs 63,485. If you opt for a four-year term, your Rs 3 lakh investment will grow to Rs 3,88,267 at maturity, giving you a profit of Rs 88,267.

Lastly, if you invest Rs 3 lakh in an HDFC Bank FD for five years, you will receive a total of Rs 4,12,093 at maturity, resulting in a profit of Rs 12,093.

Why invest in FD?

FDs are considered one of the safest investment options in India. They are especially popular among those who don’t want to take market risk. Investing in fixed deposits provides returns based on a predetermined interest rate, making future financial planning easier.

Tax on FD interest

However, liquidity should also be considered when making an FD. Because prematurely breaking an FD can result in a bank penalty and reduced interest. Therefore, it’s best to choose the investment period based on your needs and future planning. Furthermore, keep in mind that interest earned on FDs is taxable. If the total interest earned on FDs in a financial year exceeds a certain limit, the bank may deduct TDS. This limit is Rs 40,000 for general citizens and Rs 50,000 for senior citizens.