The user base of fixed deposits in India pegged at around 58% in the previous fiscal. It is one of the most preferred investment avenues among Indian individuals for a long time. With high returns and an affordable interest rate, this scheme is supposedly the best saving scheme offered by most financial institutions.
Besides, there is a very simplified application procedure and applicants can enjoy a hassle-free environment to avail the benefit of the same. It is one of the best ways to multiply your money easily. Thereafter, it becomes pertinent to know how to calculate monthly interest if you are looking for investment under the fixed deposit scheme.
A fixed deposit account is likely to multiply your deposit and grow your savings altogether. To take advantage of the specific scheme, you can opt for a fixed deposit interest rate comparison and make the most of your savings.
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Features of fixed deposit
The features of fixed deposit investment scheme are mentioned here under:
- You are entitled to receive a fixed amount on investing a certain amount with this scheme. The received amount is by default more than your invested principal amount.
- Your return from the investment is based on the interest rate at which you invest. In this regard, you opt for a Fixed Deposit scheme from Bajaj Finance which offers an attractive interest rate of 8.35%.
- Moreover, if you are a senior citizen, you will receive an even higher rate of interest.
- The minimum amount you need to deposit an amount of Rs. 25,000 to open an account.
- The scheme is reliable and is stable in nature. It is regarded as a credible avenue of investment.
- You can evaluate your assured returns if you know how to calculate monthly interest. Simultaneously, you do it online too. This will help you manage your monthly finances well.
- FDs offer a flexible tenor to its investors. You can select a tenor ranging from 12 to 60 months.
Hence, an FD is a useful option for investment as you are certain to enjoy an assured amount at the end of the maturity period. These are the potential reasons to invest in fixed deposits benefits of FD.
It should be considered that you need to meet certain criteria to be eligible to avail of the fixed deposit scheme. Before you jump on to fixed deposit interest rate comparison, make sure you are one or more of the following –
- A resident of India.
- Belong to Hindu Undivided family.
- You are a sole proprietor or a partnership firm or a company.
- A club or association or society.
- A family trust.
Investing in FD is considered to be one of the best investment options in India. As you opt for an FD in any financial institution, you will be required to furnish some documents for the same.
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- For a public or private limited company, PAN, KYC, incorporation certificate, memorandum and article of association, partnership deed, ID proofs of authorised signatories are required.
- In the case of partnership firm, PAN, KYC, registration certificate, partnership deed, list and ID proofs of authorized signatories are mandatory.
- A Hindu Undivided Family is required to furnish KYC documents of all individuals, PAN, deed of declaration and bank statement in the name of HUF.
Similarly, for registered societies and statutory local authorities, the documents required are almost the same.
Fixed deposit Interest rates
When you plan to invest in FD, it is desirable that you have a prior understanding of how to calculate monthly interest. You can expect around a 50% return with this smart investment along with your principal amount.
However, for senior citizens, the interest rate is affordable. You can also opt for a multiple interest pay-out with a non-cumulative fixed deposit. Therefore, a fixed deposit is the right scheme for people looking to maximize their savings conveniently, without disrupting their regular expenditure.