[go: up one dir, main page]
Scribd
Upload
39 views11 pages

P P P P

This document provides information about fixed deposits (FDs) including what they are, where they can be invested, interest rates, tax implications, advantages, disadvantages, alternatives, and rules for investing in FDs. FDs are financial instruments where an investor deposits a lump sum of money for a fixed period of time, ranging from weeks to years, and earns a predetermined interest rate. Interest rates vary depending on the length of time of the deposit. FDs offer the advantages of safety, regular income, and tax savings but have the disadvantages of lesser returns compared to other investments and no protection against inflation.

Uploaded by

Satyajeet Rananavare
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
39 views11 pages

P P P P

This document provides information about fixed deposits (FDs) including what they are, where they can be invested, interest rates, tax implications, advantages, disadvantages, alternatives, and rules for investing in FDs. FDs are financial instruments where an investor deposits a lump sum of money for a fixed period of time, ranging from weeks to years, and earns a predetermined interest rate. Interest rates vary depending on the length of time of the deposit. FDs offer the advantages of safety, regular income, and tax savings but have the disadvantages of lesser returns compared to other investments and no protection against inflation.

Uploaded by

Satyajeet Rananavare
Copyright
© Attribution Non-Commercial (BY-NC)
We take content rights seriously. If you suspect this is your content, claim it here.
Available Formats
Download as PPTX, PDF, TXT or read online on Scribd
You are on page 1/ 11

Fixed Deposits

- 0121 Ketki Badade -0147 Riya Deshpande - 0250 Shantanu Patil -0262 Mukesh Jha

Contents
y What are Fixed Deposits (FDs)? y FD Institutions y Interest Rates y Advantages of FDs y Disadvantages of FDs y Tax Implications y Alternatives to FDs y Rules to Invest in FDs

Fixed Deposits
Fixed Deposits are financial instruments where an investor deposits a lump sum of money for a fixed period ranging from a few weeks to a few years and earns a pre-determined rate of interest. Debt Investment Lender Specified Interest Rate Time of Repayment

y y y y

FD Institutions
y Banks
y Public Banks y Private Banks y Foreign Banks y Cooperative Banks

y Corporate FDs, NBFCs , Financial Institutions

Interest Rates for Bank FDs


Deposit Period < 15 days 15 45 Days 46 days 3 Months 3 6 months 6 months 1 year 1 2 years 2 3 years 3 4 years 4 5 years > 5 years Interest Rates 1-7 3.5 - 8.5 4.75 - 8.75 6.5 - 9 6.5 - 9.75 8 -10.5 5.5 - 9.75 5.5 - 9.6 6-9.6 6-9.6 Mostly 4.5 4 5 7 8 9.25 9.25 9.25 9 8.5

Tax Implications
y The interest amount will be taxed under the Income Tax Act. y Income from other sources. y Tax Deducted at Source

Advantages of FDs
y Safety y Regular Income y Saves Tax y Insurance

Disadvantages
y Lesser Returns y No Protection against Inflation y Tax

Alternatives to FDs
y Mutual Funds y Fixed Maturity Plans y Capital Market y Other Money Market Instruments

Top 5 rules to invest in FDs


y Split your deposits y Plan the tenure y Appoint a Nominee y Check the compound interest policies y Learn about Taxable FD investment

References
y www.wikipedia.com y www.ratekhoj.com y www.articlesnatch.com y www.themoneyquest.com y www.rupeetalk.com y www.livemint.com

You might also like