New Delhi, May 27 -- Among the safest instruments in India for short-, medium- and long-term savings, bank deposits are preferred choice for conservative investors seeking government-backed and consistent returns.

Compared to simply parking your money in a savings account, a fixed deposit or FD allows you to allocate a lumpsum amount to a financial institution for a fixed period of time and for a fixed rate of interest. FDs also tend to have higher interest rates than savings accounts.

Here is a comparison on what's on offer from various private and public lenders:

FDs are great financial tools for saving toward specific goals and can be automated so that deductions from your bank account ensure a neat, fixed amount is set aside each m...