Earn interest up to 8.10% p.a. by investing in a Bajaj Finance Fixed Deposit | Rated CRISIL AAA/ STABLE and [ICRA]AAA(stable)

If you are an investor who wants assured returns at the utmost safety, a fixed deposit is an ideal option for you. You just have to deposit a lump sum amount of money and then watch it grow over the set tenor and at the predetermined interest rate. The high-interest rates and stability mean you grow your money at low risk. However, some hasty decisions might hamper your chance of earning the maximum amount of money. You may end up committing some mistakes that can steal your chance of maximising the FD interest income. Here is a look at 6 common mistakes that you should refrain from in order to earn more and safely from your fixed deposit.

What are the Common Mistakes to Avoid While Investing in FDs?

Mentioned below is a brief explanation of some mistakes that you should avoid to enjoy the benefits of FD.

1. Lack of Investment Goals

Having a prior investment goal before starting any investment is necessary and a fixed deposit is not an exception to it. Not having a clear goal before investing in a fixed deposit is like shooting into the air without a proper aim. Keeping a goal always helps to have a clear objective for your fixed deposit investment so that you can select the right scheme. Here is a look at why you need clear goals before starting an investment:

 

  • To select the right FD scheme that will go hand in hand with your investment plan

  • To align your savings with your fixed deposit so that you can have a diverse investment portfolio

  • You can also decide on which benefits of FD you want to capitalise on like liquidity, flexible tenor, short term gains, funds for emergencies, stability, etc.

  • To optimise your savings in the right way

  • To be prepared for future expenses

2. Not Performing Sufficient and Relevant Research

Investing in any scheme requires extensive research of the market situation, especially when scouting for the best FD interest rates. You should invest in a fixed deposit only after a detailed study of the market. Doing thorough research also helps you shortlist the options and choose an FD according to your financial goals. You can also compare different schemes offered by various financiers and then choose the correct one. Various guides and books can also come in handy while doing this research.

3. Selecting Only One Option

You are less likely to get higher returns by opting for only a fixed deposit. Therefore, it is important that you should choose more than one scheme to meet your financial goals. You should also consider investing in other options as well to have a diverse portfolio. If you are targeting only fixed deposits as an investment, you can also invest in different tenors. By doing this, you can have the best of both long term FD as well as short term FD.

4. Not Tracking Your Investment

It is important to be aware of your investment at any stage. You should have a clear understanding of how much your returns will be and other information like your account details. Always pay attention to your bank statements and entries in the fixed deposit passbook.

5. Not Considering Inflation

The rise in rates of commodities and services is known as inflation. It impacts the overall value of money over time. While investing in a fixed deposit, you should park a sum that will be valuable in terms of the amount’s value after the tenor. To estimate this return and the value of your amount considering the inflation, you should use a Bajaj Finance FD calculator and plan your fixed deposit.

6. Not Investing in Insurance Simultaneously

Apart from your fixed deposit investment, you should always have an insurance policy. No matter how many fixed deposit investments you have, opting for an insurance policy is necessary to tend to any emergency financial situations. These insurance policies keep you and your family secured in times of crisis. This way you will have a backup and won’t have to break your FDs in case of any urgent cash need.

Why Choose Bajaj Finance FD to Invest Your Money?

With the help of Bajaj Finance FD, you can easily achieve your financial goals by growing your money. You get an attractive FD interest rate of 8.10% in the case of senior citizens. It also comes with ICRA’s MAAA (Stable) rating and CRISIL’s FAAA/Stable rating, offering you greater safety. You can also avail a flexible tenor ranging from 12 to 60 months and start your account with a minimum deposit amount of ₹15,000. To tend to any unplanned financial emergency, you can also take a loan against your fixed deposit.

FAQs

  • ✔️What will happen if I break FD before maturity?

     If you break your fixed deposit before maturity, you will lose out on the promised interest income for the remaining tenor of your FD. You might also be levied a penalty of 0.5%-2% on your FD depending on when you are closing the fixed deposit.

  • ✔️Can I break FD anytime?

     Yes, you can break your FD anytime by opting for premature withdrawal of fixed deposit.

  • ✔️Can we do FD for 20 years?

     Generally, a fixed deposit is offered for 7 days to 10 years. However, you can reinvest your money by doing the fixed deposit renewal as many times as you wish.

  • ✔️What is the minimum period for a fixed deposit?

     The minimum period or tenor for which a fixed deposit can be started is 7 days.

  • ✔️How many FDs can one have?

     You can start as many FD accounts as you want based on your financial goals.