How to maximize returns on your Bajaj Finance online FD?

Fixed Deposit is a preferred investment option for investors from all walks of life, as it offers assured returns and higher interest rates, compared to a savings account.

Also, investing in a fixed deposit is very convenient, and it helps investors fund their short and long-term financial goals easily.

When investing in a fixed deposit, there are several factors that affect the growth of your deposit. By knowing which factors affect your FD returns, you can take informed decisions for maximizing your savings.

Here’s a look at different factors that help maximize the returns on your Fixed Deposit.

#1 – Tenor 

When investing in a fixed deposit, you can choose tenors ranging from 12 to 60 months. FD interest rates vary substantially, depending on the fixed deposit tenor you choose. Some lenders offer higher interest rates for longer tenors, but this can vary from one lender to another.

When investing in a Bajaj Finance online FD, the returns on your deposit can vary from 10 to 80 basis points, basis tenor you choose. To understand the difference in interest rates offered, basis the chosen tenor, let’s assume you invest an amount of Rs. 2,50,000 in a Bajaj Finance FD.

See the table below to know how Rs. 2,50,000 grows for different customers, basis the tenor they choose.

Returns on investing in a Bajaj Finance FD (Non-senior citizen – offline)

Returns on investing in a Bajaj Finance online FD

Returns on investing in a Bajaj Finance FD (Senior citizens)

As you can see, the returns on your deposit are majorly influenced by the selected tenor. Take an informed decision by using FD return calculator, to know the returns on your deposit beforehand.

#2 – Amount Invested

The total amount invested in a fixed deposit also plays a role in determining the rate of interest. Generally, larger investments attract higher interest rates, but this does not necessarily mean you will only get high rates when you put a huge amount of money in fixed deposit. Non-senior citizens can start with as little as Rs. 25,000 and get assured returns up to 7.10% with Bajaj Finance Online FD. Senior citizens get an additional rate benefit of 0.25% on the same amount.   

#3 – Prevailing Economic Conditions

Interest rates are largely determined by prevailing market conditions. Rates are higher when markets are strong and drop when markets are down. While you may not be able to control this aspect, you can still have some say by investing when markets are strong, and rates are higher. Economic conditions notwithstanding, Bajaj Finance Limited offers the highest FD interest rates in the market. 

#4 – Age of Investor

The investor’s age also impacts interest rates on fixed deposits. Anyone over the age of 60 years is considered a senior citizen. As a senior citizen, one of the perks you will enjoy is a higher interest rate as compared to the average investor. If you are over 60, you get a 0.25% rate benefit when you invest in a Bajaj Finance Fixed Deposit.

#5 – Mode of Investment

When investing in a Bajaj Finance online FD, non-senior citizens can gain 0.10% additional rate benefit, which helps them gain higher returns. Additionally, the mode of renewal you choose, is another factor that affects the growth of your savings. By renewing automatically, you also minimize the risk of losing out on interest in case you forget to renew the FD on time.

Along with the rate benefit, you can also look to enjoy the convenience of booking a deposit from the comfort of your home. In addition to getting the highest returns on your investment, you can choose to receive pay outs either on a periodic basis or at maturity. Loan facility is also available against your FD in case of an emergency.

If you prefer to save on a monthly basis instead of a one-time investment, Systematic Deposit Plan is an excellent option. Under this plan, you deposit a fixed amount every month. The returns on these smaller regular deposits will add up to a substantial corpus over time.