Cuts in interest rates on small saving interest rates on post office come into effect from today. They have been cut very sharply as well.

On April 5, the Reserve Bank of India meets to declare its monetary policy. It is almost a foregone conclusion that the country's central bank would cut interest rates once again.

It is not that it should happen, but chances are really bright that fixed deposit interest rates would go down.

So, before that happens, you have a few days to lock money in deposits that give you a great interest rate. Here are few of them:

RBL Bank Deposits

At the moment, there is no established bank that is offering an interest rate of 9 per cent or above. RBL Bank, which is slated to come out with a public issue, is offering interest rate of 9 per cent, for tenures ranging between 24-36 months. The effective annualized yield works to about 9.31 per cent on a 3 year deposit. Pretty good considering lower yields than one keeps getting.

The interest rates on other tenures at the bank is much lower. We suggest that you look at the 36-month tenure.

Bajaj Finserv Fixed Deposit

This is not a bank fixed deposit, but, is a company fixed deposit. One has to be a little weary of company fixed deposits, given the fact that they are un secure deposits.

However, Bajaj Finserv fixed deposits are highly rated and the company comes from the Bajaj group, which has a solid pedigree.

A cumulative fixed deposit will fetch you an interest rate of 8.90 per cent on a 24-60 month deposit.

The yields can go significantly higher, if you are considering a 5-year tenure. Not a bad proposition as senior citizens are entitled to an extra 0.25 per cent. An interest rate of more than 9 per cent, and yields near 10 per cent can be considered as excellent in present market conditions.

DHFL Swayamsidha Deposit for Women

This offers women customers an interest rate of 9.10 per cent for a tenure of 18 months. An extra 0.25% can be availed by privileged customers and senior citizens under the same scheme.

A privileged customer would include Senior Citizens, Widows, Armed Force Personnel, DHFL Home Loan/ SME Loan/ Mortgage Loan customers.

Now this is again an excellent interest rate, when bank deposit rates are near 8 per cent. The deposits are rated as AAA by all of the rating agencies that have rated the fixed deposits. These include CARE and BWR.

Conclusion

There are many various other fixed deposits, that offer interest rates around 8-8.75 per cent. These include the government of Kerala owned KTDFC, Mahindra Finance and a select cooperative banks.

However, we have tried to select the best in terms of safety and interest rates. You may still seen professional advise, as company deposits are risky in nature.

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