Monthly Interest on a ₹5 Crore Fixed Deposit

Invest in a ₹5 Crore fixed deposit to earn regular monthly payouts and establish a reliable source of income. FDs offer consistent returns, and by comparing different interest rates and tenures, you could find a suitable option. Whether you are aiming for short-term gains or long-term growth, selecting the right FD plan could help you meet your financial goals with minimal risk.

 

For instance, with a 7% p.a. interest rate on an FD of ₹5 Crores for 5 years, you could earn as much as ₹2.9 Lakhs each month. Similarly, if you book an FD for the same amount and same tenure at a rate of 9.50%, your monthly earnings will be ₹3.9 Lakhs. 

 

So, always compare different rates before finalising an FD scheme.

The monthly interest on a ₹5 Crore FD depends directly on the interest rates. Take a look at the monthly returns on a ₹5 Crore FD for a tenure of 5 years.

Here is an overview of the FD interest on ₹5 Crores you could get if you book for a tenure of 5 years with top banks and NBFCs:

Before you invest in an FD of ₹5 Crores, calculate the ₹5 Crore FD interest per month using the FD calculator. All you have to do is enter the following values:

• Principal amount

• FD tenure

• Interest rate

Maturity Amount Calculation Example

Assume you invest ₹5 Crores in a fixed deposit at an interest rate of 8.35% p.a. for a tenure of 4 years (48 months). Here's how the ₹5 Crore fixed deposit interest per month is calculated:

• Monthly Interest = Principal × Interest Rate / 12

• Monthly Interest = ₹5,00,00,000 × 8.35% / 12

• Monthly Interest = ₹41,75,000 / 12

• Monthly Interest = ₹3,47,916.67

 

Thus, the ₹5 Crore FD monthly interest earned would be ₹3,47,916.67

 

Interest Earned Upon Maturity

• Total Interest = Monthly Interest × Number of Months

• Total Interest = ₹3,47,916.67 × 48

• Total Interest = ₹1,66,99,999.84

 

So, the total interest accumulated over the 4-year period would be approximately ₹1.67 Crores.

 

Note: Check the formula used by the bank or NBFC to get an accurate estimate. 

As a Non-resident Indian (NRIs), you have the option to invest large sums like ₹5 Crores in fixed deposits via  Non-resident External (NRE) and Non-resident Ordinary (NRO) accounts. The interest rates on ₹5 Crore FD for these NRE and NRO fixed deposits are listed below:

Here’s a table detailing the ₹5 Crore FD interest per year  at an interest rate of 8.35% p.a., with a breakdown across different tenures:

Most banks and NBFCs allow you to withdraw fixed deposits early in case of emergencies, but closing an FD before maturity usually comes with a penalty. Additionally, it leads to  reduced ₹5 Crore FD interest per month. Some financial institutions may reduce the interest rate, while others might impose a small fee on the interest earned.  

FD Premature Withdrawal Example

If you invest ₹5 Crores in an FD with a 4-year tenure at 8.35% p.a. but withdraw it after 2 years, the interest rate changes. For the 2-year period, the applicable rate drops to 7.35% p.a. With a 1% penalty for early withdrawal, the final interest rate reduces to 6.35% p.a., resulting in lower returns.

Before investing in a ₹5 Crore fixed deposit, evaluate your tax obligations and estimate your actual earnings. Here are a few crucial points that you must be aware of:

• The Tax Deducted at Source (TDS) threshold on FD interest income for regular investors is ₹40,000 in a year

• The limit for senior investors is relaxed to ₹50,000 annually

• The standard TDS rate applicable is 10% for both senior and regular investors

• The TDS rate increases to 20% if you do not furnish PAN details

The information provided by BFDL is related to the rates provided by Banks and Deposit taking NBFCs as available from public domain and under no circumstances is intended to be source of advice or recommendation of any financial investment advice or endorsement of any sort. BFDL disclaims any responsibility or liability regarding inaccuracies, omissions, mistakes etc. as well as offers and use of such information set out is entirely at the User’s own risk and User should exercise due care prior taking of any decision, on the basis of information mentioned hereinabove. Display of any intellectual property along with the related product information does not imply BFDL’s partnership with the owner of the intellectual property of such products and is solely for the purpose of information, unless otherwise provided by BFDL.