Did you know a Maturing FD can give you a Higher Return?
Do you have a bank FD investment that’s soon going to mature? Are you concerned that if you renew your bank’s existing fixed deposit, it may renew at the current rate and not give you desired results? You can open an FD account with a leading online lender and stand to gain some more profits in the event of a matured FD.
Here’s How a Maturing FD Account can Give a Higher Return!
Yes, that’s true! Suppose if you have an existing senior fixed deposit account which is going to mature at the promised rate of 8:10%, you are all set to renew it at 8:20% and gain profits when compared to a bank’s FD which matures in the current interest state.
Hence, you should not have any fear to lose out on the interest profits if you have a fixed deposit that’s set to mature. It is one of the many vital reasons that investing in a fixed deposit scheme of an online lender is more beneficial than that of a bank.
Open an FD account – Your Ticket to Financial Freedom!
Let’s quickly provide you some details related to other benefits that a new FD account with a reputed online lender will offer you.
Earn Interest Income
An FD account is a direct income that you will get. Whether you have a cumulative or non-cumulative fixed deposit investment, you will get profits or returns compounded or periodically at the completion of the tenor.
A fixed deposit is a risk-free investment because unlike other investment schemes such as mutual funds, the profit of an FD is not governed by fluctuating market conditions. What’s more, a fixed deposit account also does not have any expense ratio penalties which mean that you will get a fixed FD interest rate based profits.
Good use of savings
Often, people with some cash savings keep the amount in their bank’s saving account which is not at all its productive use because a bank account only gives 4-5% interest returns. If you put the same amount of saving in a fixed deposit account, you will get good ROI on it and see your savings multiply.
Ease of liquidity
Fixed deposit accounts also offer a hassle-free liquidity because there are no restrictions if you can break it or withdraw amount before the end of the tenor. Yes, you are free to break your FD prematurely if you have an urgent need for money. The only element that you need to know is that you won’t be getting any interest gains because you have not completed the tenor. You will get a full return on your money which you put and nothing else.
Maturing FD accounts gives higher FD interest rates
When compared to banks, a private online lender based FD account on maturity will not mature and continue to give similar interest rate. Yes, you can be double sure that your maturing FDs will yield more fixed deposit interest rates. As discussed earlier, a person whose FD was attracting a 7.85% interest, can now gain around 7.95% on maturity. Hence, investing in an FD with a reputed online lender can provide good returns when compared to banks.
The Bottom Line
If you want to invest some money and want your money to grow, you can invest in a company fixed deposit scheme and make the most of it.
You could also use an FD calculator available on a company’s website free to know how much return you will earn.