The last few quarters have seen a significant dip in the investor sentiment. However, despite the economic turmoil, you should continue investing your money to keep your financial goals on track. The key to making the right investment decision is to invest in FDs or government saving schemes which offer both safety and assured returns irrespective of market fluctuations.
If you are planning to invest in government-backed investment plans such as post office schemes, you might first want to compare the interest rates against the bank/company FDs. The post office fixed deposit interest rate is revised every quarter. It can go up and down as it is based on the performance of government bills and securities. Though a post office FD usually offers higher rates than a bank FD, it cannot match the returns offered by a company FD.
The high FD rates today offered by some companies even in these turbulent times are a rewarding option for all investors, especially senior citizens and those who are dependent on interest income. For instance, Bajaj Finance FD offers an interest rate of up to 7.35% which is among the highest across all bank and corporate FDs in 2020.
Apart from the high interest rate, there are a few more reasons why Bajaj Finance FD makes a good investment option this year:
Safety of Your Funds
CRISIL and ICRA, India’s leading credit rating agencies have accredited Bajaj Finance FD with the highest stability ratings. With such credentials, you can lock your funds in Bajaj Finance FD with complete peace of mind.
Online FD with Additional Interest Rate
Bajaj Finance FD also comes with a facility to book your FD online if you want the convenience of investment without stepping out of your home or office. The only application process is paperless and hassle-free and takes only a few minutes of your time. What’s more, you can earn an additional interest rate of 0.10% over and above the base FD rates today offered by Bajaj Finance.
You can further maximize your returns on Bajaj Finance FD by availing the multi-deposit facility. Based on laddering investment technique, it allows you to break your lumpsum FD in smaller FD amounts. Each of these small FDs can have a different tenor and interest rate as per your liquidity requirements at varying intervals. It also beats inflation-related risk, thereby increasing the effective returns.
Bajaj Finance FD also offers online loans against FD. After the initial lock-in period of three months, you can withdraw up to 75% of the FD amount in case of emergencies to avoid loss of interest.
Bajaj Finance FD provides the option of investing in both cumulative and non-cumulative FDs as per your choice. The option of monthly, quarterly, six-monthly, and yearly interest payout is provided if you choose to invest in a non-cumulative FD.
Therefore, periodic interest payouts can be used to cover monthly expenses as well. It also proves to be beneficial for senior citizens who do not earn every month. Moreover, a 0.25% extra interest rate is offered to the senior citizens.
Online FD Calculator
If you want to know your returns and investment value at maturity before investing, online FD calculator is a handy tool. After you feed parameters such as desired investment amount and tenor in this tool, it will automatically generate interest earned and maturity amount as per the interest rate applicable. It can also calculate monthly and other periodic income. Using this FD calculator, you can also compare returns across all other FDs in the market to determine where you want to invest.