Finest benefits are available on FD!!!
Whenever it comes to savings, the name of FD (Fixed Deposit) definitely comes because your investment in it is safe. Along with this, you also get guaranteed returns. In today's time, of course, people have started talking about investing money in mutual funds, but still many people do not see any better option than FD. But do you know that apart from guaranteed returns, there are many more features in FDs? people don't talk much on these features or don't know much about it. Here we will give you information about this.
Overdraft facility is also available on loan basis in many banks. The reason for this is that the amount of the FD is in the form of a guarantee with the bank. bank gives you loan according to your amount. If you are not able to repay the loan on time, then that loan gets covered by your FD amount.
You are also given the facility of insurance cover on FD by the Deposit Insurance and Credit Guarantee Corporation. Suppose the bank becomes insolvent due to some reason, then you can get an amount of up to five lakhs under the insurance cover with returns. That is, there is no tension of losing money.
Now let's talk about the benefits that everyone talks about. That is, guaranteed return on FD. Whether you get an FD for one year, for 5 years or for 10 years, you know how much money you will get at the time of maturity. This is the reason why FD is considered a safe investment and even after having all the investment options in today's time, people get FD without any worries.