What is Fixed Deposit… • A fixed depositis a financial instrument provided by banks which provides investors with a higher rate of interest than a regular savings account, until the given maturity date
Eligibility….. • Individuals • Sole Proprietorships • Hindu Undivided • Families (HUF) • Partnerships • Trusts • Associations/Societies and Clubs • Limited Companies
Documents Checklist… • Application with photograph • Age proof • Address proof
Interest…. • Interest is credited only if it is one rupee or more. • Scheduled bank with deposits of less than Rs.25 Crores are permitted to give an additional ½% of interest. • Additional fixed deposit interest rateof 1% is also payable to retired employee (not resigned) and the spouse of a deceased retired employee.
Benefits • Loans can be availed on fixed deposit up to 80-90% • Rate of interest over loan will be 1-2% over rate offered on deposit • NRI can apply for fixed deposit