Fixed Deposit (FD) is a safe and fixed income investment option for Indians. However, after the corona crisis in recent times, there has been a huge drop in interest rates on FDs issued by banks. In such a situation, experts say it is best not to invest more than a year if you are planning to invest in FD.
This is because interest rates may rise in the next one year. At the same time, if you have invested money in FD for a period of five years now, this means you will get a return on the current rate If interest rates rise next year, you won’t get the benefit of those increased rates.
Interest rates may rise
Banking experts say there is no hope of relief soon from rising inflation in the country. In such a scenario, interest rates are likely to fall over the next one year, but interest rates are likely to rise in the next two-three years. So investing more than a year makes no sense. Short-term FDs are receiving four to five percent and long-term interest rates 5 to 5.5 percent.
These banks are getting high interest
IndusInd Bank – 7 percent interest
Yes Bank – 7 percent interest
RBL Bank – 6.85% Interest
DCB Bank – 6.50% interest
Bandhan Bank – 5.74% Interest
Standard Chartered Bank – 6.3% Interest
Greater interest in corporate FD
If you want to get more interested in FD you can invest in Corporate FD. Corporate FD is similar to Bank FD, but the risk is slightly higher in Corporate FD compared to Bank FD. However, strong and highly rated companies have lower FD risk. It works similar to Bank FD. For this, the company offers the form, which can also be filled online.
PF Trust is able to invest in securities with a rating
