Central Bank FD Scheme: High-Interest Returns on 91-Day Fixed Deposits

Looking for high short-term returns with minimal risk? The Central Bank of India's 91-Day FD Scheme offers attractive interest rates up to 6.75%, making it a perfect investment for individuals, retirees, and businesses. With flexible withdrawal options, loan facilities, and secure deposits, this FD is a safe and profitable choice. Learn how to invest and maximize your earnings today!

By Praveen Singh
Published on
Central Bank FD Scheme: High-Interest Returns on 91-Day Fixed Deposits
Central Bank FD Scheme

Fixed Deposits (FDs) are one of the safest and most reliable investment options for individuals looking to earn guaranteed returns on their savings. Recently, the Central Bank of India has launched a bumper FD scheme offering high interest rates on 91-day fixed deposits. This scheme is attracting investors due to its short tenure and lucrative returns, making it an ideal choice for those seeking quick gains with minimal risk.

Central Bank FD Scheme

FeatureDetails
Scheme NameCentral Bank of India 91-Day FD Scheme
Interest Rate (General Public)5.25% p.a.
Interest Rate (Senior Citizens)5.75% p.a.
For Deposits ₹3 Cr – ₹10 Cr6.25% – 6.75% p.a.
Minimum Deposit Amount₹10,000 (varies by branch)
Maximum Deposit AmountNo upper limit (subject to bank approval)
Tenure91 Days
Premature WithdrawalAllowed with penalty
Official WebsiteCentral Bank of India

The Central Bank of India’s 91-Day FD Scheme is an excellent investment option for those seeking high short-term returns with minimal risk. With competitive interest rates, flexibility in withdrawal, and higher benefits for senior citizens and bulk depositors, this FD stands out as a top choice for short-term savings. Whether you are an individual, a retiree, or a corporate entity, this scheme provides an ideal balance of security and profitability.

Why Choose the Central Bank of India 91-Day FD?

1. Short-Term Investment with Attractive Returns

Central Bank FD scheme is ideal for individuals who want to earn a high return in a short span of 3 months. Compared to regular savings accounts, which offer around 3-4% p.a., this FD provides significantly better returns.

2. Safe and Secure Investment

Fixed deposits are low-risk investment instruments, as they are not subject to market fluctuations like stocks or mutual funds. Additionally, deposits in banks are insured up to ₹5 lakhs under the Deposit Insurance and Credit Guarantee Corporation (DICGC).

3. Ideal for Senior Citizens and Bulk Depositors

Senior citizens can enjoy an extra 0.5% interest rate, making it an attractive option for those looking to park their retirement savings safely. Bulk depositors (₹3 crore to ₹10 crore) can earn up to 6.75% p.a.

4. Flexibility with Premature Withdrawal

Unlike many long-term investments, this FD allows for premature withdrawal (with a nominal penalty), making it a flexible option for those who may need liquidity.

5. Better than Savings Accounts

A standard savings account provides lower interest rates, typically ranging from 2.5% to 4% p.a.. By shifting idle funds to an FD, depositors can earn significantly higher interest while ensuring fund safety.

see also: RBI’s New Rule to Increase Bank FD Interest Rates: Millions of Investors to Benefit

How to Open a 91-Day FD in Central Bank of India?

Investing in this high-interest FD scheme is simple. Follow these steps:

Step 1: Check Eligibility

  • Any individual, senior citizen, minor (with a guardian), HUF, or corporate entity can open this FD.
  • The minimum deposit amount is generally ₹10,000, but may vary by branch.

Step 2: Visit the Bank or Apply Online

  • You can open Central Bank FD by visiting your nearest Central Bank of India branch.
  • Alternatively, if you have net banking access, log in to your account and open an e-FD online.

Step 3: Submit Necessary Documents

You will need to provide:

  • KYC documents (Aadhaar, PAN, or Passport)
  • Photograph (if required)
  • Existing bank account details (for linking the FD)

Step 4: Deposit the Amount

Transfer funds via:

  • Cash (at the branch)
  • Cheque/DD
  • Online Transfer (NEFT/RTGS/IMPS)

Step 5: Receive Confirmation

यह भी देखें How to Invest in FDs for Maximum Benefit

How to Invest in FDs for Maximum Benefit

Once the Central Bank FD is successfully created, you will receive a Fixed Deposit Receipt (FDR) as proof of investment.

Who Should Invest in This Scheme?

1. Short-Term Investors

If you are looking for a secure and quick return on your investment within 3 months, this FD is a great choice.

2. Retired Individuals & Senior Citizens

With higher interest rates, this is a safe option for senior citizens who want to earn steady interest without taking risks.

3. Businesses & Corporates

Large companies and HUFs looking for short-term parking of funds can benefit from high interest on bulk deposits.

4. Conservative Investors

If you want to avoid stock market risks but still earn more than a savings account, this FD is a solid choice.

see also: SIP is Not the Only Option! These 3 Investment Options Are the Best for Small Investors

Central Bank FD Scheme FAQs

1. What happens if I withdraw the Central Bank FD before maturity?

You can withdraw your FD before 91 days, but a penalty of 1% on the applicable interest rate will be deducted.

2. Is this FD taxable?

Yes, interest earned is taxable under “Income from Other Sources.” If the interest exceeds ₹40,000 (₹50,000 for senior citizens), TDS will be deducted at 10%.

3. Can I take a loan against Central Bank FD?

Yes, you can avail a loan up to 90% of your FD amount at competitive interest rates.

4. How is interest calculated on this FD?

Interest is calculated on a quarterly or cumulative basis, depending on your selection at the time of investment.

5. Can I renew the Central Bank FD after 91 days?

Yes, you can choose to renew the FD upon maturity for another term at the prevailing interest rate.

यह भी देखें Invest Rs 2,200 Monthly in SBI Scheme & Become Rich in 15 Years

Invest Rs 2,200 Monthly in SBI Scheme & Become Rich in 15 Years

Leave a Comment