Question

Which among the following accounts fetch the highest rate of interest?

• A. saving deposits
• B. recurring deposits
• C. fixed deposits
• D. current deposits

Answer 1

Answer: (C)

fixed deposits

Fixed Deposits (FD) are investment instruments offered by banks and non-banking financial companies, where one can deposit money for a higher rate of interest than savings accounts. These deposits, hence, offer the highest rate of interest, ranging from $4$ to $7.25$ percent.