
How to Choose the Right FD Term for Your Financial Needs
Fixed Deposits (FDs) are a popular and secure investment option in India, offering guaranteed returns with minimal risk. When considering an FD, one of the most crucial decisions you must make is choosing the right FD term. The term refers to the period for which the money is locked in the deposit. The right FD term depends on various factors, including your financial goals, risk appetite, and liquidity needs. Let’s explore how to choose the ideal FD term that aligns with your objectives.
Understanding Fixed Deposit Terms
The FD term refers to the duration for which the deposit is held by the bank or financial institution. FD terms can range from as short as seven days to as long as ten years. The interest rate, liquidity, and penalties for early withdrawal all vary based on the term you choose. For instance, shorter-term FDs usually have lower interest rates compared to …
How to Choose the Right FD Term for Your Financial Needs READ MORE