Fixed deposit is like the God father of investments. You know you can trust FD with your money without a doubt in your head: No risk on investment, moderate returns, and available for almost everyone ready to invest. But, even the Godfather of investments can’t help you get better returns if you aren’t investing in the right place. NBFCs offer higher interest rates on FD compared to banks, and that’s where you need to invest.
Apart from higher returns, there are few more influencing reasons to invest with NBFC’s, read them here:
Higher Interest Rate: It isn’t hidden any more than NBFCs offer higher interest on FD investment compared to public and commercial banks. Some NBFCs even offer interest rate up to 8% p.a. The interest rate can be higher if you are in senior citizen category.
Flexible Tenor: Tenor flexibility is one major reason why NBFCs are better than public sector banks for FD investments. As an investor, you get to choose the maturity period of your investment, which can be in between 11 months to 60 months.
Higher Security: Most of the NBFCs are regulated by National and International regulatory bodies like ICRA and CRISIL which categorize them as safe or unsafe for investment. Renowned NBFC's like Bajaj Finserv, Tata Capital have ICRA’s MAAA and CRISIL’s FAAA ratings, which signify the highest level of safety any NBFC can offer.
Better Customer Services: It is a well-known fact that commercial banks and financial institutions offer better customer services to keep their customers happy. Services like online application, doorstep customer services, and online account management make your life more convenient.
Read How Fixed Deposit the Best Investment Plan?
Aman is working in the domain of Investment management in one of the top universities. He has published research papers and case studies in Investment and Fixed Deposit marketplace. He is an avid blogger in the domain of Investment management. you can also find him on social networking platforms.