One of the significant aspects of building your wealth is saving money. Now, saving money is not just about putting some bucks in your piggy bank but creating a proper plan to grow your wealth with time. To grow your wealth exponentially, spending money wisely and simultaneously developing the habit of saving is essential.
Trust me, I’ve tried and tested various methods of investment, but the most reliable and satisfactory is the Fixed Deposit. With it, after I calculate fd interest, I know how much I’ll invest for a fixed term and a fixed return.
What is a Fixed Deposit?
Also known as an FD, it is one of the most sought-after
Investment options offered by banks and non-banking financial companies (NBFC) to help people save money. Fixed Deposit Interest Rate is predetermined for a fixed period of time so an individual can invest a sizeable amount of money here. Remember, in this arrangement, the borrower invests money for a fixed term and a fixed return.
What are the top features of a Fixed Deposit?
One of the prime reasons a fixed deposit is said to be a wise investment is that it is safe as it offers guaranteed returns. These returns are over the returns you get on your savings account and may vary depending on the principal amount, banks, and tenure.
Investment options such as mutual funds, bonds, and stocks give you high returns but are volatile as they are linked to market risks. So, people who don’t want to or are not ready to take such risks can invest in FD.
One can easily break the fixed deposit before it matures. In case of any financial emergency, you can withdraw the locked-in amount anytime for a minor penalty. Remember, it is difficult to liquidate other forms of investments, such as bonds or stocks, in a short period because of their high value. Unless there is a serious emergency, it is advisable to refrain from withdrawing money before it matures, as it will affect the returns.
How to Calculate FD interest rate Online?
Now, personally speaking, I’ve been using the Bajaj Finserv Application on my smartphone for all sorts of digital payments such as mobile recharge and electricity bills. However, I checked out their FD calculator when I was planning to invest in Fixed Deposit last year. The simple steps to do the same are as follows –
- Download the Bajaj Finserv app from the Play Store or App Store
- Open it and tap on the top left icon with three lines
- Choose the ‘Try our Calculators’ option
- Go to ‘Deposits Calculators’ and tap on ‘Fixed Deposit Interest Calculator’
- Enter the details
- You are good to go!
Using this calculator is always a good idea and a must, as it gives you a brief idea of how you should move ahead with your investments. This definitely helps in better financial planning and structuring. Also, then investing accordingly with the best fd interest rate offers good returns for a better future.
(Note: Please don’t consider this write-up as promotional. Readers are free to choose any application that suits them the best.)