Banks in India offer returns at 7% for fixed deposits over a year. In my business, I have a constant cash flow where I am holding small amounts of money for 4-6 weeks. Is there any way to get the maximum interest rate a bank pays on these small amounts being held for limited periods?
You can open Savings Bank Account with some Banks that offer better interest rate. Note there would be restriction on number of withdrawals in quarter. There are better interest rates if you lock in for 90+ days. The other option to explore is to open a Demat / Brokrage account and invest in liquid funds. Note depending on various factors it may or may not suite your requirements.