Bajaj Finance Fixed Deposit is one of the most promising FD schemes as it offers an interest rate up to 7.25%. It is not only much higher than the current bank FD rates but it is also a stable and credible investment option. Its features that can help you to boost your savings are explained below:
Senior Citizen FD rates
The senior citizen FD rates of Bajaj Finance are 0.25% higher than its regular FD rates. This additional rate will maximize your returns if your age is above 60. However, if you are not 60 yet then you can prefer its online investment process and earn at 0.10% higher FD rate.
Use the FD Calculator
Before investing in an FD plan it is always recommended to use an FD calculator first. The same goes for Bajaj Finance FD as well. The FD calculator provided on its website helps you choose a deposit amount and tenor that will meet your expectations in terms of interest gains and returns.
Also, the returns and interest gains of both the FD types are shown simultaneously in this calculator. It makes your decision much easier and helps you to go for the tenor that is not only in accordance with your financial plans but which also provides higher returns at maturity.
The auto-renewal option that is available on its online FD form lets you grow your investments without wasting any time that is required for reinvestment formalities. Moreover, its multi-deposit facility lets you invest in more than one FDs with a single payment cheque. A different tenor, amount, and FD type can be selected for every deposit.
This provides you with more liquidity that may come in handy in difficult times but it may also reduce your tax liabilities of a particular year as each of your FDs will mature on different dates.
Systematic Deposit Plan
If you want to receive the benefits of a higher FD rate without the burden of collecting a huge corpus to invest in then you can think of Bajaj Finance’s Systematic Deposit Plan. It is a deposit plan through which you can deposit a fixed amount every month and choose a tenor up to 60 months for each of the deposits. Also, the number of deposits can vary as per your requirements.
You can either choose all your deposits to mature on the same date or each deposit can be locked-in for the same period. The amount needs to be deposited on 3rd, 7th, or 12th of every month and the interest rate prevailing on these particular dates will be applicable to your deposits.
Invest in a long-term Cumulative FD
A cumulative FD of longer tenor will produce the effect of compounding on your returns. As a result, you can grow your returns at a much higher speed especially if you invest a sizable amount in it.
For instance, let’s say you invest Rs. 10,00,000 in a cumulative Bajaj Finance FD for 5 years. The returns and accumulated interest gains over different customer categories are shown in the below table:
|Customer type||Investment amount||Interest rate||Tenor||Interest||Maturity Value|
|Senior citizens||Rs. 10,00,000||7.25%||5 years||Rs. 4,19,013||Rs. 14,19,013|
|Non-seniors (offline investment)||Rs. 10,00,000||7%||5 years||Rs. 4,02,552||Rs. 14,02,552|
|Non-seniors (online investment)||Rs. 10,00,000||7.10%||5 years||Rs. 4,09,118||Rs. 14,09,118|
You need not worry while investing a lump sum amount in its FD plans as it has as it has received the highest credit ratings from ICRA and CRISIL By now it is quite clear that it is one of the best investment plans that you will come across especially in today’s context where the bank FD rates are already low and investors are in search of an instrument that gives a steady growth for their savings.
Investing in Bajaj Finance Fixed Deposit is a good choice as it offers both stability and higher returns for your investments. However, you can also use its other features like multi-deposit facility, online investment process, cumulative FD benefits, etc. to maximize your interest gains. You can utilize its FD calculator to pick a plan that complements your financial goals and provides better returns simultaneously. The higher FD rates offered to senior citizens and the highest credit ratings given by ICRA and CRISIL make it a lucrative investment option, especially in today’s times.
Gaurav Khanna is an experienced financial advisor, digital marketer, and writer who is well known for his ability to predict market trends. Check out his blog at Highlight Story.