Are you looking to invest ₹5 lakh for a period of 6 months in 2025 in India? Then there are a number of ways for it that are safe and give good returns.
Now we will discuss about these different options available that are most trusted, government-backed backed and involves low risk.
Best Investment Options to invest ₹5 Lakh for 6 Months in 2025
| Investment Option | Expected Return (Annualized) | Safety Level | Liquidity |
|---|---|---|---|
| Fixed Deposits (6 months) | 6% – 7.5% | High (Bank/NBFC) | Moderate |
| Treasury Bills (T-Bills) | 6.8% – 7.1% (recent cutoff) | Very High (Govt) | Moderate (91 Days) |
| Recurring Deposit (6 months) | 6% – 7.25% | High (Bank/Post Office) | Moderate |
| Post Office Time Deposit (6 months) | 6.9% p.a. (Apr–Jun 2025) | Very High (Govt) | Moderate |
| Bank Sweep-in FD | 6.25% – 7.5% | High | High |
Now, let's discuss about all these in detail -
1) Fixed Deposits (FDs)
It is ideal for investors who do not want to take any risk and require good returns. Different banks provide different rates of interest. It is generally 6% to 7.5% p.a., depending on the bank and its tenure.
Moreover, scheduled commercial banks are highly secure as they are protected up to ₹5 lakh under DICGC.
Below is a list of some legal banks in India offering Fixed Deposit (FD) options with tenures of 6 months or less, along with their current interest rates and the estimated earnings from a ₹5 lakh investment over 6 months.
Note: Interest rates are subject to change. Please verify the rates with the respective banks before investing.
Fixed Deposit Rates for Tenures ≤ 6 Months (As of May 2025)
| Bank Name | Type of Bank | Time Period | Interest Rate (p.a.) | Earnings on ₹5 Lakh in 6 Months |
|---|---|---|---|---|
| HDFC Bank | Private | 91 days to 6 months | 6.50% | ₹16,250 |
| ICICI Bank | Private | 91 days to 6 months | 6.50% | ₹16,250 |
| Kotak Mahindra Bank | Private | 180 days | 7.00% | ₹17,500 |
| Axis Bank | Private | 6 months | 5.75% | ₹14,375 |
| IndusInd Bank | Private | 121 to 180 days | 7.00% | ₹17,500 |
| DCB Bank | Private | 91 days to less than 6 months | 4.75% | ₹11,875 |
2) Treasury Bills (T-Bills)
It is ideal for investors who are seeking 100% government-backed instruments. Its tenure may be 91 Days / 182 Days (auctioned weekly). Its return is approximately 6.8% – 7.1% (based on last auction data).
Treasury bills can be bought through the RBI Retail Direct or the NSE GoBID platform.
3) Recurring Deposits (6-Month)
RD (Recurring Deposits) are helpful for those people who want to invest monthly and earn fixed returns. It gives a flexible monthly contribution with a return of 6% – 7.25% p.a. Its minimum tenure is 6 months.
4) Post Office Time Deposit (6-Month)
It is also like a bank FD scheme. It is useful for rural investors who do not have access to a nearby bank. Minimum investment for this scheme is ₹1,000. It also provides a good and stable return of 6.9% p.a. (as of Apr–Jun 2025).
5) Bank Sweep-In Fixed Deposits
Its special feature is that it provides good returns with liquidity. It is suitable for those who want liquidity with FD-level interest. Generally, in it, the idle balance above a threshold is automatically parked in FDs. It comes with a return of around 6.25% – 7.5%.
So now, from above, you might have got a clear view of which option you want to go ahead with. All the above options, such as FDs, Post Office Time Deposit, etc, provide the perfect balance with safety, liquidity, and returns, all backed by the government.
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