Why should a retiree invest in Bajaj Finance Senior Citizen FD?

by Arwind Sharma Finance Advisor

The chance of capital depreciation that is associated with market-linked instruments is not what senior citizens will look for. The low-risk appetite of senior citizens makes them turn towards conventional investment options like savings accounts and fixed deposits. However, as interest rates on savings accounts and bank FD accounts have been reduced to below 6%, senior citizens might face a dilemma while choosing their options. 

To help senior citizens in this situation, Bajaj Finance is now offering an FD interest rate up to 6.75% to senior citizens. This is 0.25% higher than the FD rates that are offered to non-seniors. Therefore, as a senior citizen you need not wait for the bank FD rates to go up again. In fact, Bajaj Finance FD rates are even higher than the interest rate offered by a post office time deposit. There are plenty of other reasons to validate your decision of investing in senior citizen FD offered by Bajaj Finance as listed below:

Hassle-free investment 

You don’t have to gather a big corpus for investing in Bajaj Finance Senior Citizen FD as a deposit of Rs. 25,000 will be enough to start an FD. Also, an online procedure is provided to enable you to invest in its FD plans in a hassle-free way. 

This process is a complete end-to-end online process wherein you can also submit your KYC documents online. Moreover, there is no need to bear the inconvenience of standing in queues and waiting for the process to be completed, as your FD will be booked as soon as you furnish the payment online 

Option of periodic payouts 

The option of periodic payouts resolves your need for regular funds as you can opt for monthly, quarterly, bi-annual, and annual periodic interest payouts. The option of monthly interest payout serves as a salary that can be used to take care of your monthly expenditures. 

As the non-cumulative FD provides this benefit, you can start investing in it as you proceed towards retirement. Also, you can invest a part of your corpus in cumulative FD to grow it at a faster rate. The cumulative FD does not provide the option of periodic payout but it compounds your returns by adding the interest gains to the principal during the next interest calculation cycle. 

The FD interest calculator will help you see the exact returns of cumulative FD and interest payouts of non-cumulative FD for the same amount and tenure at once. This will help you to choose the FD type that suits your investment plans. 

Benefit of investing in several FD Schemes

With Bajaj Finance, you can enjoy the privilege of investing in several FD plans at once by utilizing the multi-deposit feature. Investing in multiple fixed deposit plans resolves your liquidity needs and also allows you to club your returns for future investment plans. 

Each of your deposits can be locked in for a period between 12 and 60 months as per your investment plans. Also, you can submit just one cheque for investing in all the FD plans simultaneously. 

Monthly Investment in disciplined way 

Bajaj Finance has also introduced (Systematic Deposit Plan) SDP for those who are not willing to deposit a huge amount at once in an FD. SDP is also ideal if you are looking to leverage the FD benefits by depositing a fixed amount every month. 

The minimum monthly deposit is Rs. 5000 and you can deposit it for 6 to 48 months as per your convenience. A tenure of up to 60 months can be selected for each deposit or you can even withdraw all the deposits on a single day by investing in Single Maturity Scheme variant. Overall, it is a great way to multiply your savings in a disciplined manner. 

Also, investing in any of the deposit schemes is safe as Bajaj Finance FD has received credit ratings good enough to make it a stable investment option for you. These features along with the exceptional FD rates has made the senior citizen FD scheme a lucrative option for any retiree.

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About Arwind Sharma Advanced   Finance Advisor

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Joined APSense since, October 9th, 2015, From Pune, India.

Created on May 27th 2021 05:39. Viewed 66 times.


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