Maximise Your Savings: Understanding the Features of Best Fixed Deposit Schemes
July 06, 2024
When it comes to investing your hard-earned money for better returns, fixed deposits (FDs) are often considered one of the best investment options in India. So, if you're starting your FD investment journey, this blog may pique your interest.
In this article, we have provided all the features of the best fixed deposit schemes in India so you can make an informed decision.
Which Fixed Deposits can be Considered 'Best' in the Category?
Most financial institutions offer FDs. However, the differentiator lies in the product features. Here's what you should look into while booking an FD.
1. Higher Interest Rates
Investors prefer FDs that offer higher interest rates. Generally, small finance banks offer higher FD rates compared to traditional banks. However, before booking such, go through the terms and conditions along with service charges to avoid unpleasant surprises.
2. Digital FDs
Digital Fixed Deposits offer convenience. You can book FD online from the comfort of your couch; no paperwork required.
3. Standalone FD
Booking an FD should be simple and easy. However, that's not the case every time. Some FDs require you to open a savings account with the bank. The best FD schemes don't come with such requirements - you can just open a standalone FD.
4. Loans or Overdraft Against Fixed Deposit
One of the unique features of fixed deposits is the ability to avail loans against them. In times of financial emergencies, having a fixed deposit account can come in handy. This facility is available for callable deposits only.
5. Maximum Security
Best FD schemes ensure maximum security - both in terms of transactions and returns. Though deposits up to ₹5 lakh are protected under Deposit Insurance and Credit Guarantee Corporation (DICGC), it's best for you to go for a financial institution known for safe and secure transactions.
6. Additional Benefits
All callable FD schemes allow premature withdrawals. However, a certain penalty can be imposed if you close your account or withdraw your money before the maturity date. Other benefits like minimal documentation, easy-to-book process, priority banking services, easy account access via Mobile or WhatsApp Banking, exceptional customer support, etc., are some of the traits of best fixed deposit schemes.
Point to Note: Ujjivan SFB does not charge premature withdrawal penalty after 6 months from the time of deposit.
7. Multiple Payout Options
Best fixed deposit schemes provide flexibility with multiple interest payout options - monthly, quarterly, or at maturity. This simplifies income management and suits different cash flow requirements efficiently. You can choose a payout schedule that suits your needs and preferences.
Final Thoughts
Consider these features while booking an FD. Point to note - best FD schemes offer convenience. So, apply for FD schemes that comes with additional benefits to simplify your financial life.
Looking to grow your savings? Ujjivan SFB offers a wide range of fixed deposit products. Select the FD of your choice and take a step forward to your financial goals. Alternatively, you can browse through Ujjivan SFB product suite - our wide range of financial products are designed to make your financial life better.
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