Some public and private banks have increased the interest rates on Fixed Deposits (FDs).
Some public and private banks have increased the interest rates on Fixed Deposits (FDs). The reason behind this is the increase in the repo rate by the Reserve Bank of India (RBI), after which many banks have taken this step.
some public and private banks (Banks) has fixed deposit (FDs) But interest rates have increased. The reason behind this is Reserve Bank of India (RBI) By increasing the repo rate, many banks have taken this step. Corporate Fixed Deposit (FD) also monetary policy (Monetary Policy) increased after the decision of Large finance companies are known to offer higher interest rates on deposits than banks. These finance companies have also started increasing the rates on deposits.
Large finance companies such as HDFC, Bajaj Finance and PNB Housing Finance have increased deposit rates by 10-25 basis points. But experts have advised investors to wait before investing in long-term FDs. Because the quantum of hike in rates is still less than expected.
Many companies increased interest rates
Both HDFC Limited and Bajaj Finance companies have increased the interest rates on FDs for the third time in the last few months. HDFC has increased the tenor of FDs from 12 to 36 months by 20 basis points. With this, these companies have increased the interest rates on fixed deposits of 36 to 120 months by 10 basis points. The new interest rates are effective from June 15.
Bajaj Finance has increased the rates by 25 basis points on FDs with maturity of one to five years. At the same time, PNB Finance has increased by 25 basis points across all tenors except for the period of 48 to 59 months. However, the company has increased the interest rates on FDs of 48 to 59 months by 10 basis points.
Corporate FDs are popular among small investors and retirees who want to avoid the volatility of the stock market. Experts also believe that stock market investors should invest in such products, as equity returns are expected to remain low in the medium term.
Corporate FDs usually offer 175 to 300 basis points more than the FD rates of big banks. For example, Bajaj Finance offers an interest rate of 7.35 per cent on a four-month fixed deposit. At the same time, HDFC Bank has an interest rate of 5.6 percent on FDs with maturity of three to five years. Small finance companies with low credit ratings pay more interest. But they are not suitable for low risk investors.
Source: www.tv9hindi.com
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