Canara Bank’s new interest rates surprised, now you will get such a huge return on FD of ₹ 5 lakh!:

New Delhi/Lucknow: When it comes to safe investment and guaranteed returns, Indians still have the highest trust in Fixed Deposit (FD). Further strengthening this trust, the country’s big public sector banks, Canara Bank has made a major change in its fixed deposit rates. This move of the bank is going to be beneficial for those investors who are looking for safe investment for long term. If you are also planning to keep an amount of ₹ 5 lakh in the bank for 2 years, then definitely see this calculation before investing.

Complete mathematics of returns for common citizens

According to the new rates of Canara Bank, if a general citizen (below 60 years of age) makes an FD of ₹ 5 lakh for a period of 2 years, then the bank will give them 6.25% annual interest Is offering.

Total investment amount: ₹5,00,000

Interest Rate: 6.25% (annually)

Total interest received in 2 years: ₹66,027 (approx)

Total amount received on maturity: ₹5,66,027

Senior citizens are getting extra interest

The bank has opened its doors even more for senior citizens. Compared to normal rates for senior citizens 0.50% additional interest being given. i.e. on FD of 2 years 6.75% You will get returns at the rate of Rs. At this rate, on an investment of ₹ 5 lakh, he will get a total of ₹ 5,71,624 at the time of maturity, of which only interest of about ₹ 71,624 will be included.

The magic of compounding: this is how your money grows

A major advantage of making FD in Canara Bank is ‘Quarterly Compounding’ (quarterly compound interest). This means that the bank adds the interest earned by you back to the principal every three months. Interest for the next three months is calculated on this increased amount. This is the reason why the amount received at the end of 2 years is slightly more than your expectations.

444 days special scheme: huge profits in short time

If you do not want to wait for 2 years and want more profits in less time, then Canara Bank 444 days special FD Best for you. In this special scheme, common citizens 7.25% and senior citizens 7.75% Bumper interest up to Rs. This is one of the most attractive options in the market currently for short term investment.

Note: This return received by the bank may be subject to TDS deduction. If your annual interest exceeds a certain limit, the bank will make the payment only after deducting tax. Before investing, please visit your nearest bank branch or official portal to confirm the latest rates.