Non-banking financial company (NBFC) Shriram Transport Finance Company on Tuesday said it has hiked interest rates on its fixed deposit scheme. According to the corporate, the new interest rates will be applicable from August 10 and as a result of the revision fixed deposit rates have been increased by 25-50 basis points or 0.25-0.50 per cent per annum across multiple tenors. Fixed deposits maturing in 1 to 5 years will be subject to new interest rates, on fixed deposits maturing in 60 months or 5 years, Shriram Transport Finance Company will now have a maximum interest of 8.25% for general public and 8.75% for senior citizens rate provides. And this interest rate is now the highest that customers can now get in the fixed deposit industry of banks.
According to a press release by Shriram Transport Finance Company, senior residents will benefit from an additional interest rate of 0.50 per cent per annum on their deposits. The company has also said that it will also provide an additional 0.25 per cent per annum interest on any renewal of the matured fixed deposit account. Those looking to invest in post office small savings schemes can consider the fixed deposit option of Shriram Transport Finance Company which can not only provide inflation-beating returns but also keep their deposits in a safe manner. can.
Shriram Transport Finance Company FD got rating”[ICRA]Rated “AA+ (Stable)” by ICRA and “IND AA+/Stable” by India Ratings & Research, indicating a high degree of safety. If we look at the high interest rates and decent credit rating, it is a kind Tortilla Despite the fact that the RBI raised the repo rate by 50 basis points to 5.40 per cent, some banks, including Canara Bank And IOB, has already started increasing its fixed deposit interest rates. However, the FD rates of Shriram Transport Finance Company are higher as compared to all private, public and even small finance banks.
Interest rates for famous post office schemes including SCSS, Kisan Vikas Patra, PPF, Sukanya Samriddhi Account (SSA), National Savings Certificate (NSC), National Savings Monthly Income Account (MIS). The National Savings Fixed Deposit Account (TD) is also well below the fixed deposit rates of Shriram Transport Finance Company. When it comes to the topic of what investors should do, they should keep in mind that corporate fixed deposits are not DICGC-insured.
In terms of deposit protection, bank fixed deposits are insured up to 5 lakhs by DICGC, and the post office small savings schemes are supported by the Govt. In contrast, company fixed deposits only have a credit rating, which can change overnight if a company goes bankrupt, making both interest rates and deposits in these accounts volatile. However, company fixed deposits offer better returns than bank FDs; As a result, corporate fixed deposits have a high risk-reward ratio, which means that corporate deposits carry high default risk along with high returns.
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