₹50 lakh FD for 5 years: How much money will you get from SBI, HDFC, ICICI and other banks?

If you invest ₹50 lakh in a 5-year cumulative FD, the maturity amount depends on the bank's interest rate and compounding frequency.

So, how much can ₹50 lakh become?

At around 6.5%, for a general citizen, ₹50 lakh can grow to roughly ₹67 lakh-₹69 lakh over five years at these large banks

So the senior-citizen advantage can be worth around ₹2 lakh-₹4 lakh extra over five years on a ₹50 lakh deposit, depending on the bank.

The ₹50 lakh interest figures above are pre-tax. FD interest is taxable according to the investor's applicable tax rate, so the actual post-tax return can be considerably lower.

Also, with ₹50 lakh, the highest interest rate should not be the only factor to consider. DICGC deposit insurance is generally limited to ₹5 lakh per depositor per bank, including principal and interest. So, putting the entire amount in one bank could mean taking on unnecessary concentration risk.

It is also important to remember that FD interest is taxable as per your income-tax slab. So, if your FD earns ₹19 lakh in interest, the full ₹19 lakh will not be your post-tax return.

For a large FD, it may therefore make sense to compare the interest rate, tax impact and deposit safety before deciding where to keep the money.

Disclaimer: This article is written purely for informational purposes and should not be considered investment advice from Upstox. Securities mentioned are illustrative and not recommendations. Investors should do their own research or consult a registered financial advisor before making investment decisions.