Fixed deposits have various benefits over other investment options. Some of the benefits are listed as follows:
The reason why fixed deposit is said to be safe is because it gives you assured returns. The returns are generally over the returns you get on your savings account. The returns may vary as it depends on the principal amount, banks and also the tenure of your fixed deposit investment.
In fixed deposit, the customers can choose to fix their money from 7 days to 10 years. The fixed deposit tenure varies from one bank to the other. In addition, each bank offers different interest rates to the customers. If you are not satisfied with your primary bank’s FD interests or other criteria, you can always approach other banks to open a FD account with them irrespective of whether you hold an account with them or not.
There are various ways to invest your money. The investment options such as mutual funds, bonds and stocks give you high returns, however, they are volatile in nature as they are linked to market risks. People who do not want to or are not ready to take such risks can invest in FD. They are a great option for people with long-term financial goals.