A fixed deposit is a sensible financial tool for those who don’t want to risk their investment. Safety of deposit amount, secured returns, timely payouts and investment ease are a few factors that make it a preferred investment tool for risk-averse investors. While these instruments usually yield lower returns, Bajaj Finance online FD offers the dual benefit of high returns and the safety of parked funds. Bajaj Finance is a financier with high-paying fixed deposit plans that provide lucrative returns over a long tenor. However, choosing the right time to park funds in an FD could be challenging due to interest rate fluctuations, primarily when investing funds for a short tenor. Laddering deposits is an effective way to combat fluctuating interest rates and combat investment risk.
Laddering deposits for amplified returns
Fixed deposit laddering is an investment strategy where investors park their money in multiple FDs of different tenors. The method involves dividing funds and investing them in separate FDs instead of locking the entire deposit amount in one FD.
Study the table below to determine how much a citizen aged below 60 can make with an investment of Rs. 6 lakh by laddering it across varied tenors.
| Deposit amount | Tenor | Rate of Interest | Interest earned (in Rs.) | Maturity amount (in Rs.) |
| 3 Lakh | 24 months | 6.40% | 39,629 | 3,39,629 |
| 2 Lakh | 36 months | 6.80% | 43,638 | 2,43,638 |
| 1 Lakh | 60 months | 6.80% | 38,949 | 1,38,949 |
One can choose to re-invest the maturity amount received at the end of the tenor in another FD. Re-investing enables one to lock in the ongoing FD rates, creating an investment loop and thereby allowing one to earn enough liquid funds to cater to financial requirements. Investors can align their laddering strategies basis their financial goals and needs. With high FD rates provided by Bajaj Finance, investors can grow their savings effortlessly.
Easy and credible investment platform
Investors need not wait in long queues to submit documents as they can invest from the comfort of their homes with the online application process. This process can be completed in just a few steps in under 10 minutes. For estimating the returns that one can expect from an FD over a particular tenor, one can visit the fixed deposit calculator page available on the Bajaj Finserv website.
Bajaj Finance FD is a safe haven for investing one’s hard earned savings. This can be confirmed by the high credit ratings bestowed by ICRA (MAAA) and CRISIL (FAAA), India’s top credit rating agencies.
Laddering one’s fixed deposits is a prudent way to minimise risk and maximise returns at maturity. It is the perfect tool for anyone who wishes to maintain optimal liquidity and get the most out of their investment.
