The Reserve Bank of India (RBI) announced on March 27, 2020 a whopping 75 basis points cut in the repo rate, bringing it down to 4.4 percent as a response to the ongoing coronavirus induced crisis. In these uncertain times, to maintain a healthy balance and ensure that your investment strategy for the coming financial year yields profitably, add to your portfolio instruments like a stable Fixed Deposit.
With the new financial year on the horizon, the time is right for a re-assessment of your risk profile, given the volatility in the market today and the condition of the Indian economy.Â The Reserve Bank of India (RBI) announced on March 27, 2020 a whopping 75 basis points cut in the repo rate, bringing it down to 4.4 percent as a response to the ongoing coronavirus induced crisis.
In these uncertain times, to maintain a healthy balance and ensure that your investment strategy for the coming financial year yields profitably, add to your portfolio instruments like a stableÂ Fixed Deposit.
The FD has been a trusted ally of Indian investors for years, offering assured returns at the end of the maturity term. Further, investing in an FD is easy; however, for optimal returns, you must pick the right issuer. Bajaj Finance, for instance, offers a competitive rate of interest, up to 8.05%, through which you can augment your wealth by over 45% over a 5-year tenor.
Read on to know why investing in a Bajaj Finance FD makes for a smart move in the new financial year.
Earn guaranteed returns without market risks
FD returns are not linked to the market, and with a Bajaj Finance FD, even new customers getÂ FD interest ratesÂ of up to 7.80%. Courtesy of a 0.25% hike, senior citizen investors get a rate of up to 8.05%. Likewise, existing customers earn at a rate of up to 7.90%.
Safety and returns are key parameters when identifying a smart investment avenue for the coming financial year, as you must be able to combat inflation with minimal risks. Bajaj Finance couplesâ€™ generous returns with investment security as its FD carries CRISIL FAAA and ICRA MAAA ratings. With high credit ratings backing the instrument, you can look forward to assured proceeds and zero defaults.
The table below shows the interest pay-out and total returns earned by different customer types.
Â· Initial deposit: Rs.30 lakh
Â· Tenor: 60 months
|Customer type||Interest rate (%)||Interest payout (Rs.)||Maturity amount (Rs.)|
Strategise your investmentsÂ according to your goals
Bajaj Finance allows invest over a flexible tenor that ranges from 12 to 60 months. This enables you to align your investments to your short- and medium-term goals. You can use theÂ FD calculatorÂ to forecast your gains and fine-tune your investment for optimal returns.
To understand how investing for a longer duration benefits you, take a look at the returns when you, as a regular customer, invest Rs.40 lakh for varying tenors.
Initial deposit: Rs.40 lakh
|Tenor (months)||Interest rate (%)||Interest payout (Rs.)||Maturity payout (Rs.)|
Further, in case you have a big-ticket expense to tackle in the future, you can use the Auto-Renewal facility to invest for longer. Here, your FD is renewed automatically for another term. This is advantageous because it is a hassle-free option and allows you to profit from a renewal bonus, currently a 0.10% interest rate hike.
Avail periodic liquidity for recurring needs
Bajaj Finance allows you to avail interest payouts every month, quarter, half-year, or year. This way you can earn income from your investments, especially if you are a retired senior citizen. Moreover, through the Multi-deposit facility, Bajaj Finance allows you to book several FDs of varying amounts and tenors via a single cheque. This makes laddering a lot easier and allows you to secure timely liquidity for multiple goals with ease.
Invest in an FD via small monthly contributionsÂ
Thanks to theÂ Systematic Deposit PlanÂ (SDP) feature offered by Bajaj Finance, young earners can benefit from FD without saving a lump sum amount first. The facility is similar to an SIP, albeit without the risk. Here, you can make 6 to 48 contributions of Rs. 5,000 per month or more for a tenor ranging between 12 and 60 months. The first contribution is to be made by cheque and subsequent ones are automated via a NACH mandate. Each contribution is counted as a separate FD, yielding interest as per the rate prevalent on the date of deposit. Once the first FD matures, you get liquidity every month.
Now that you know how the Bajaj Finance FD can be effective at hedging your portfolio against risks and building your savings reliably, book a Bajaj Finance online FD from the comfort of your home and start the new financial year on the right foot!
About Bajaj Finance Limited
Bajaj Finance Limited, the lending company of Bajaj Finserv group, is one of the most diversified NBFCs in the Indian market catering to more than 36 million customers across the country. Headquartered in Pune, the companyâ€™s product offering includes Consumer Durable Loans, Lifestyle Finance, Digital Product Finance, Personal Loans, Loan against Property, Small Business Loans, Home loans, Credit Cards, Two-wheeler and Three-wheeler Loans, Commercial lending/SME Loans, Loan against Securities and Rural Finance which includes Gold Loans and Vehicle Refinancing Loans along with Fixed Deposits. Bajaj Finance Limited prides itself on holding the highest credit rating of FAAA/Stable for any NBFC in the country today. It is also the only NBFC in India with the international â€˜BBB-â€™ with stable outlook for long-term, by S&P Global Rating.