5 Lakh FD Interest Per Month – Monthly Interest for 5 Lakh in SBI, HDFC and Axis Bank in 2025, India

They say that investment in no child’s play. You plan to put all your life savings somewhere in the hope that it would generate a continual source of income for you for a lifetime. No kidding there! When it comes to the question of investment, one of the safest and best bets anyone can vouch for is the age-old Fixed Deposit (FD) system. No risk and no extreme fluctuations in the rate of interest with market changes, FD investments continue to attract investors of all ages. It is no surprise then that investors are comfortable investing any amount of money into FDs. Here we explore the 5 lakh FD interest per month to help you make an informed decision.

Why Invest in Fixed Deposits (FDs)?

Before we move on to exploring the rate of interest per month on a 5 lakh investment in fixed deposit, let us begin by understanding why FDs are a popular choice for investment among several investors in India:

1. As stated earlier, FDs are one of the safest financial instruments offered by banks in India. It is safe to say that one can be rest assured investing their savings in a fixed deposit account at a bank than in any other alternate financial product.
2. Another great advantage that FD accounts hold over other financial products is the rate of interest they offer. It has been known for a very long time that the interest rate on FDs is generally higher compared to the rate of interest offered on conventional savings or current accounts.
3. FD accounts assure a guaranteed and regular income source to the investor compared to any other investment tool.
4. The returns on FDs are not just regular but also fixed in nature. This helps the investor prevent sudden and extreme market fluctuations with changes in the economy.
5. There is flexibility offered by the banks regarding the term of investment in an FD. The investor can choose the investment tenure between 7 days and 10 years, depending on their individual requirement.
6. Loan against FD is also available as per requirement.
7. Fixed deposits can easily be broken as per the investor’s financial need, either party or fully. This means that they are a liquid investment.
8. Fixed deposit investments also attract tax-saving benefits and deductions under Section 80C of the Income Tax Act.

What is 5 Lakh FD Interest Per Month?

Now that we know that FDs are a risk-free investment tool, it is evident that for an investor, depositing any amount of money into a fixed deposit account should not be a big deal. Moreover, considering that FDs are a liquid form of investment, it makes even more sense to deposit carefree in them, knowing that you can break them as and when you need money for your needs.

So, if you wish to invest, say, Rs. 5 lakhs in a Fixed Deposit, it is important to learn about the rate of interest per month in both banks and other financial institutions such as NBFCs (Non-Banking Financial Companies). By comparing the rate of interest in all these different financial institutions, it would become easier to make a wise and informed decision.

Monthly Interest for 5 Lakh in Banks

We will first discuss the interest rate per month for a 5 lakh FD investment in banks. The following table lists the monthly interest rate on Rs. 5 lakh in various banks as well as the total amount earned upon maturity on a 5-year investment term:

Name of the Bank	Rate of Interest*	Interest Per Month	Total Amount Earned on Maturity
HFDC Bank	7.40%	3,083.33	7,02,500
SBI	7.25%	3,020.83	5,66,250
Axis Bank	7.20%	3,000.00	5,61,000

*Interest rates are subject to change. Hence depositor will ascertain the rates as on the date of placement from the bank’s official website.

Rs. 5 Lakh Fixed Deposit Interest in NBFCs

The table above shared the monthly interest rates on a 5 lakh FD investment in different banks in India. Now let us take a quick look at the rate of interest offered by a number of NBFCs in India every month as well as the amount earned on maturity of the FD after an investment term of 5 years in the table below:

Name of the NBFC	Rate of Interest Offered*	Amount of Interest Per Month	Amount Earned on Maturit
PNB Housing Finance	7.16%	Rs. 2,983	Rs. 6,79,000
Bajaj Finance	7.16%	Rs. 2,983	Rs. 6,79,000
Mahindra Finance	6.90%	Rs. 2,400	Rs. 6,72,500

*Interest rates are subject to change. Hence depositor will ascertain the rates as on the date of placement from the bank’s official website.

Why Should You Invest Rs. 5 Lakhs in an FD?

We saw above the rates of interest offered per month to an investor for a 5 lakh amount deposit in an FD account in both banks as well as NBFCs. Let us now understand why it is a good idea to consider investing an amount as big as Rs. 5 lakhs in a fixed deposit in the first place.

We already learned in the previous section that FDs are the safest bet for investment, regardless of market fluctuations or economic changes. Besides, the rate of interest offered on an FD investment is relatively assured as well as decent.

This goes on to further explain that when considering a large investment worth Rs. 5 lakhs in an FD, the monthly interest rate offered by the bank or the NBFC (wherever you choose to invest), would guarantee a regular flow of income every month, again irrespective of any volatile market conditions.

This also means that with an investment of Rs. 5 lakh in a fixed deposit account, you can look forward to achieving all your financial and investment goals for the future without a worry on your mind!