With interest rates near their peak and are likely to diminish in the coming months, experts put their best deals on the FDs.

"Fixed Deposit Interest Rates are now almost at its peak," said Vijayalakshmi Iyer, Director of the Central Bank of India. "In the future, could see interest rates declining in the month of November-December 2011."

There is no pressure on banks to increase deposit rates, as there is ample liquidity in the system. The banks also expect credit growth remains moderate in the coming days because of continued rate hikes by the Reserve Bank of India (RBI). RBI raised the key lending rate 12 times over the last 18 months to control inflation.

To raise funds for the general public that banks offer rates up to 10.5% of framework decisions. While Lakshmi Vilas Bank, Karur Vysya Bank offers 10.5% and 10.0% interest in a year and framework decisions under two years are big players like State Bank of India, ICICI Bank, HDFC Bank and Punjab National Bank offers interest 8.3 to 9.5% for fixed deposits maturing in one to two years.

Investors who want to invest for about a year to go to frame decisions, expert advice.

"The investor has an investment horizon of approximately one year to go to the bank making framework and plan of fixed maturity mutual funds," said Amar Pandit, CEO, my financial advisor.

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Experts also suggest that investors should not be disturbed by the current market volatility and advising people to invest through systematic investment plans.

Source: [HT]