Perks of Fixed Deposits

One of the earliest and simplest asset classes offered by banks is fixed deposits. The interest paid on savings or current cash accounts is lower than the interest paid on fixed deposit holdings. Every person must diversify their investment portfolio by including a variety of annuity and dividend payout asset options.


Simple Liquidity
Your deposits are safe, and they are also simple to liquidate. With the exception of tax-saving FDs, most FDs can be liquidated early with a modest penalty. Additionally, the process is fast and simple.

Flexible tenure
A fixed deposit's maturity is negotiable and subject to the depositor. Although each bank has its own minimum tenure requirements, the depositor has the last say.

Fixed deposit loans:
An FD is a solid asset to have on hand in case of a monetary emergency. It's fairly simple to obtain a mortgage against a set investment.

One of the primary reasons why consumers decide to make investments in fixed deposits is the assured rate of return.