Fixed Deposits

Fixed Deposit:

Fixed income securities are crucial part of an investment Portfolio. Fixed deposits represent investments that provide income largely in the form of fixed periodic payments and repayment of the increased amount at the time of maturity. Along with this, it helps in increasing your returns without even exceeding your risks.

Eligibility and documentation required:

Avalid identity proof and an address proof are required by the depositor for opening a fixed deposit account.

Here we have detailed some facts for you, which your relationship manager might hide from you:

FACT 1

Akin to banks, companies also offer fixed deposits

FACT 2

Bank deposits are more secured than company fixed deposits

FACT 3

Avoid involving with those who promises to offer you high rate of interest

FACT 4

Higher interest frequency not only guarantees higher returns every time

FACT 5

Due to any reasons if you withdraw prematurely, your deposits will bring lower than promised returns

FACT 6

Penalty as well as premature withdrawals can be negotiated

FACT 7

Interest on fixed deposits will be charged before it is paid out to you

FACT 8

Not all 5 years deposits guarantee you to enjoy section 80C income tax exemption

Fact 9

You can raise a loan or overdraft facility against your FD

Fact 10

Sweep- in excess cash deposit facility from your savings account into fixed deposits

The below mentioned table shows, the best fixed deposits at the top. On the basis of this, you can select, which bank is paying the highest rate of interest on fixed deposits.

Bank	Duration	Rate %	Investment (Rs.)	Maturity (Rs.)
United Bank of India	United Bank Tax Savings Deposit Scheme	10.10	100000	161784
Karnataka Bank KBL	Tax Planner	10.00	100000	161051
IDBI Bank	IDBI Suvidha Tax Saving Fixed Deposit	10.00	100000	161051
Union Bank of India	Union Tax Saver	9.90	100000	160320
State Bank of Bikaner and Jaipur	SBBJ TAX SAVER TERM DEPOSIT SCHEME	9.80	100000	159592
Dena Bank	Dena Maha Tax Bachat Yojana	9.75	100000	159229
State Bank of India	SBI Tax Saving Scheme	9.75	100000	159229
Bank of Maharashtra	Bank of Maharastra (Tax Saving Scheme)	9.75	100000	159229
State Bank of Mysore	SBM Tax Saver	9.75	100000	159229
Indian Bank	Ind Tax Saver	9.75	100000	159229
The Lakshmi Vilas Bank	Lakshmi Tax Saver Deposits	9.75	100000	159229
Canara Bank	Canara Tax Saver	9.50	100000	157423
Corporation Bank	Corp Tax Saver	9.50	100000	157423
State Bank of Hyderabad	(SBH Tax Saver) 5 YEARS to less than 8 years	9.50	100000	157423
Andhra Bank	AB Tax Saver	9.50	100000	157423
City Union Bank	Tax Saver Scheme	9.50	100000	157423
Axis Bank	Axis Bank Tax Saver	9.25	100000	155634
The Karur Vysya Bank Limited	KVB to Tax Shield	9.25	100000	155634
ICICI Bank	Tax Saver FD 80C (5 year) &ndash Upto Rs. 1 lac	9.25	100000	155634
ING Vysya Bank	Ing Tax Saver	9.25	100000	155634
Indusland Bank	Indus Tax Saver Scheme - 5 years	9.25	100000	155634
Allahabad Bank	Allahabad Bank Tax Benefit Term Deposit Scheme	9.00	100000	153862
Central Bank of India	Cent Tax Saving Deposit	9.00	100000	153862
Citi Bank	5 years (Citi Bank Tax Saver Deposits)	8.00	100000	146932