FDs with assured returns are now highly preferred by Indians with low risk appetite as compared to investing in gold. Moreover, with tools, like FD calculator, it is now very easy to invest in them while having a clear knowledge of the returns.
Let us have a look at the reasons that make FD a better investment option than gold.
When you invest in FD, you already know the interest rate that will be offered on your investment. Moreover, you can also use an Fixed Deposit Calculator to know that total amount that you will get at the end of the tenure. On the other hand, the return on gold is highly unpredictable.
You are required to pay additional Wealth Tax of 1% if you have gold worth Rs. 30 lakh, whereas, FDs are known as tax-saving instruments. They help in reducing your tax liability while increasing the total rate of return. Moreover, there are also ways through which you can avoid TDS on FD investments.
Minimum risk, low costs, etc. are some other reasons that make FD a better choice as compared to gold investment.
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.