Fixed deposits have held sway in India for decades, but with low-interest rates, bank FDs are losing their sheen. Corporate FDs offer higher interest rates than bank FDs.
Higher rates of interest: Corporate FDs offer higher rates of interest than bank FDs.
Ratings: Corporate FDs are rated by independent agencies, and this allows investors to make an informed choice.
Invest in corporate FDs that offer competitive interest rates with JM Financial Services Limited.
FACTBOX
A corporate fixed is a fixed deposit offered by companies. Investors are paid a predetermined interest rate over the deposit tenure.
Corporate FDs are a good investment option as they provide higher rates than bank FDs and are reasonably safe.
The best way to invest in a corporate FD is through a registered broker like JM Financial.
Retail banks offer a bank FD while companies offer corporate FDs. Corporate FDs offer higher interest rates than bank FDs, but bank FDs are safer.
It depends on the institution and specific FD. Some may have a lock-in period, and others may levy a penalty for early withdrawal. So, check the terms and conditions before buying a corporate FD.
Yes. Corporate FDs and company FDs refer to the same type of security.
