Fixed deposits are investment instruments offered by banks and non-banking financial companies, where you can deposit money for a higher rate of interest than savings accounts. You can deposit a lump sum of money in fixed deposits for a specific period, ranging from 7 days to 10 years.
Once the money is invested with a reliable financier, it starts earning an interest based on the duration of the deposit. Usually, the defining criteria for FD is that the money cannot be withdrawn before maturity, but you may withdraw them after paying a penalty.
There are several advantages of fixed deposit investments, some of which have been given below:
Also Read: Different Types of Fixed Deposits
The interest earned from fixed deposits is taxable. The tax deducted at source on FDs can range from 0% to 30%, depending on income tax bracket of the investor. Financiers deduct 10% TDS if your interest earned is more than Rs. 10,000 in a year, if your PAN details are available with them. However, in case your PAN details are not provided to your financial institution, 20% TDS will be deducted.
If your total income is below the minimum tax slab of 10%, you can claim a refund of the deducted TDS. You can also avoid the deduction by submitting Form 15G to your financial institution, and submitting Form 15H if you’re a senior citizen. If you fall in the higher tax bracket (20% or 30%), you would have to pay extra tax over and above the TDS deducted by your NBFC or bank.
Also Read: What is Form 15G & Form 15H
You can opt for a Fixed Deposit by Bajaj Finance, which enables you to earn greater returns with a higher interest rate. You can also leverage benefits of flexible tenor, easy online application processes, and start investing with just Rs. 25,000.
With Bajaj Finance Fixed Deposits, you get high security because of FAAA rating from CRISIL and MAAA rating from ICRA. This helps you earn assured returns, which can also be converted into periodic interest payouts, customised as per your needs.
If you’re looking to invest in Bajaj Finance Fixed Deposits, here are the documents you need:
Bajaj Finance offers one of the highest interest rates in the market. Here’s a brief lowdown on the same:
|Tenor in Months||Minimum deposit size (in Rs.)||Cumulative||Non-Cumulative|
|12 – 23||25,000||8.00%||7.72%||7.77%||7.85%||8.00%|
|24 – 35||8.15%||7.88%||7.93%||8.00%||8.15%|
|36 – 60||8.75%||8.42%||8.48%||8.57%||8.75%|
|Special tenors scheme|
+ 0.35% for senior citizens
+ 0.25% for Bajaj group employees or existing Fixed Deposit customers or loan customers
Renewal: +0.25% over and above the rate of interest at which the deposit is booked
When investing in Bajaj Finance Fixed Deposits, senior citizens can benefit from a higher rate of interest that enables them to gain better returns on their investment.
Here’s a lowdown on the attractive interest rates offered to senior citizens:
|Tenor (in months)||End of tenor||FD Periodic Interest Payout|
|Senior Citizen FD Rates||12 to 23||8.35%||8.07%||8.12%||8.20%||8.35%|
|24 – 35||8.50%||8.23%||8.28%||8.35%||8.50%|
|36 – 60||9.10%||8.77%||8.83%||8.92%||9.10%|
|Special tenors scheme|
With the Bajaj Finance Fixed Deposit Calculator, you can also evaluate your returns and plan your investments in a way that helps you gain maximum profits. Using the Bajaj Finance FD Calculator is very easy. All you have to do is:
The total interest amount and the maturity amount will be displayed on your screen.
Still have any doubt in investing in Bajaj Finance Fixed Deposit? Check Bajaj Finserv Customer Portal to read unbiased reviews of investors or you can directly contact on Bajaj Finserv Customer Care in case of any question.
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Calculate Your Maturity Amount with FD Calculator