Though you will get thousands of options of investment, there are mainly two investment plans which are popular and will be profitable for you. Fixed deposit and mutual fund are the two best investment options.
In case of fixed deposit, you will invest the money for a specified period of time and there is no risk involved in it. But in case of mutual fund, the return on investment depends on market fluctuations. Mutual fund is risky and there is no assurance of ROI. It can be huge or you can even face a loss. But in case of fixed deposit, you will get assured and fixed ROI.
If you want to invest Rs. 1 Lakh, then I would recommend you to invest it for at least 1 year. If you do not withdraw the interest in monthly or quarterly basis, you will get a good amount of interest after FD maturity. At 8.55% rate of interest, you will earn an interest of Rs. 8.5K. Fixed deposit gives the assurance that at the end of the investment tenure you will get this fixed amount.