Fixed deposits News
Bank fixed deposits (FDs) are still a popular investment option, not only among retirees looking for a steady stream of income, but also among risk-averse investors. Over-exposure to FDs, on the other hand, is not a good thing, and you should evaluate your asset allocation and goals before deciding how much money to put in them.
Fixed Deposits are one of those investment instruments that are not only risk-free but come with assured returns. Fixed deposits offer a return between 3 to 9 per cent depending on the tenure and interest rate being offered by the bank. Since the interest rates for FDs are pre-defined, you get the return as per the rate when the investment was made. So, it gives guaranteed returns. However, to make most of your investment into fixed deposits, you must choose wisely from several types of fixed deposits available in the market. The fixed deposits which allow premature withdrawal is known as callable fixed deposit while the one that doesn't allow depositors to withdraw funds early is known as non-callable.
Union Bank of India has revised its fixed deposit interest rates with effect from today. The bank now offers a return of 7.3 per cent for the general public while an additional interest rate is payable to senior citizens. The fixed deposit interest rates by the Union Bank of India now start from 3 per cent and go up to 7.3 per cent depending on the tenure.
Bandhan Bank has hiked their FD rates with effect from November 7 for deposits up to Rs 2 crore. The hike in interest rate for the fixed deposits will be applicable to fresh deposits as well as renewals of maturing deposits. With this hike, the Bandhan Bank is offering an interest rate of as high as 8% on deposits for a tenure of 600 days.