3 Reason You Should Invest in Fixed Deposit(FD)

Fixed Deposit is one of the best investment tools for Indians. The two types of FDs - cumulative FD and non - cumulative FD allow people to invest and design a conclusive retirement plan. If not retirement, FD can be used to plan short-term and long-term financial goals.

The best part about Fixed Deposit is, the process of opening a new account is very easy to follow. You can navigate to the online website of the bank or NBFC offering the Fixed Deposit scheme and fill the application form to get started. In fact, if the financial institution you have decided to do business with has an app, you can even use that to Open an FD account.

Apart from these, below are some good reasons why you should invest in FD.

The returns are assured: Whenever someone invests in an FD, the returns to be offered for the decided tenor is assured i.e. no matter what happens, the investor would get the sum he/ she was promised.

Also, read This: NRI FIXED DEPOSIT | BENEFITS OF NRI FD

FD can be used for robust financial planning: Since the returns from FD and the maturity are fixed, the FD savings can be used for error-free financial planning. In short, if you need Rs 50, 000 after 10 years and so you want to invest, you can choose FD and take a sigh of relief. You can use the FD calculator to calculate the maturity amount your FD will get you to plan your investment more appropriately.

RBI Security: Even though there are very rare chances of losing the money invested in FDs if that ever happens the investor would get back up to Rs 1 lakh including the interest component as per assurance provided by the RBI.

Taking all that into consideration, for all your short-term and long-term plans, FD is a good option.

Also, Read This: Turn Your Savings Into Profits With 8.6% Interest Rate On Bajaj Finance FD