Fixed deposits involve locking a sum of money for a chosen period, ranging from days to years. In return, they offer a fixed interest rate. At maturity, the depositor receives the principal amount along with accrued interest. They're highly favored in India, especially by risk-averse middle-class investors.

Fixed deposits (FDs) in India are a secure and hassle-free way to invest money, offering good returns. They're ideal for risk-averse individuals aiming to meet financial goals with guaranteed returns.

Fixed deposits (FDs) come with varying investment periods, spanning  7 days to 10 years, depending on the bank. Returns on the invested sum are compounded periodically quarterly, annually, or monthly. Senior citizens typically enjoy 0.5% higher returns than regular investors. While premature and partial withdrawals are often allowed, they might incur penalties. Upon maturity, re-investment of the total amount is an option.

Benefits Of Fixed Deposit

• Great Interest Rates: Recurring deposits offer better interest rates than regular savings accounts.
• Simple Process: Opening an RD, especially with the same bank where you have a savings account, doesn’t require extra paperwork. It's hassle-free, linking directly to your existing account
• No Penalties: Banks have made RDs friendlier by removing penalties for missed payments or early withdrawal, but early withdrawal might not earn the latest interest.
• Flexible Timeframes: Choose the duration that suits your financial needs.
• Easy to Start: You can start saving with amounts as low as around Rs 500, depending on the bank.

Types Of Fixed Deposit

• Cumulative Fixed Deposits: These deposits compound interest periodically, adding it to the principal amount. Investors receive the total payout at maturity and can apply for loans or overdraft facilities. Early withdrawals may incur penalties.
• Non-Cumulative Fixed: Deposits: Investors in these deposits receive interest payouts at regular intervals, ideal for those seeking steady income from their investment.
• Flexi Fixed Deposits: Combining features of both fixed deposits and savings accounts, these offer high-interest rates while maintaining liquidity. They operate via a sweep-in and sweep-out mechanism, where surplus funds are invested but can be liquidated if savings drop below a set limit.
• Tax-Saving Fixed Deposits: Banks provide these deposits for tax deductions up to ₹1.5 lakh annually (under Section 80C of the Income Tax Act). They usually have a compulsory lock-in period of five years.
• Senior Citizen Fixed Deposits: Tailored for individuals aged 60 and above, these deposits offer higher interest rates compared to regular fixed deposits.

Why Choose Aadeeshwara ?

• Interest Rates: Look for an institution offering competitive interest rates on fixed deposits to maximize returns.
• Flexible Tenures: Choose an institution that provides varied duration options, allowing alignment with your financial objectives.
• Customer Service: Positive feedback regarding customer service, reliability, and convenience in managing fixed deposits influences many individuals.
• Additional Benefits: Institutions might offer extra features like online access, loan facilities against deposits, or specialized services for specific customer segments.
• Reputation: A financial institution's solid reputation, trustworthiness, and stability play a significant role in the choice for fixed deposits.